Setting Up LLC For Real Estate Investing (Your 1st LLC!)

[@ClintCoons]

Want answers to your questions about this video? Schedule a complimentary consultation with our experts today! Visit: aba.link/nq4

[@condohatesme]

“He lives well who conceals himself well.” - Ovid

[@billytheweasel]

"Hey lookit me!" - Gotti

[@johnsongraves3416]

Beautifully said

[@fluent_In_finance]

Clint, you're my favorite lawyer 😄🙌 I will most certainly be using your services. Thank you truly for providing us with such great insight.

[@WPaKFamily]

love the name XD

[@cigarcatfromwayback...lets380]

Great information; I'm getting back into real estate investing after taking a few years off, so this is some good information to know. I read an asset protection book by Bill Bronchick years ago, but this information is right up there regarding it's value. Thanks!

[@ClintCoons]

Glad it was helpful!

[@matthewwoody4114]

This video is amazing!! The kind of information that should be incorporated in the beginning of a persons real estate journey but is usually learned near the end. Thank you so much for this free information!

[@ClintCoons]

Glad it was helpful!

[@ALandryThompson]

@@ClintCoons@ClintCoons If you are setting up a Louisiana entity, they ask who the member is, member-managed or Manager-managed. I have a WY Holding but 2 LLCs in Louisiana. 1 is the asset, with the Member and member manager being the WY holding, and the 2nd one is the property management member being WY holding, and the manager managed in my name. Is this structure correct? lt asks if the LA LLC business is a corporation or partnership. Since the WY holding is the owner . Is it considered a partnership or corporation? My husband and I are on the WY holding. It can get confusing.

[@sred5856]

Great video. What if the tenant already knows who the owner is. Also these days one can get to know who the previous owner is (if converted from a person's name to an entity). In that case is the damage already done. The LLC can give asset protection still, so that is good to have, but the anonymity part is not there.

[@randombytes]

Tenants dont need to know who the owner is. Like you said, they could sue the LLC itself, but generally the owner of the LLC isnt a matter they should be concern with and if the LLC is structured correctly, no one will know unless a court order is granted to have the managers of the LLC turn over the operating agreement listing the members, which is unlikely to happen unless there is some form of fraud going on.

[@viksra]

randombytes -- look at www.congress.gov/bill/116th-congress/house-bill/2513 and google "Corporate Transparency Act, H.R. 2513", if lawmakers have their way, every foreign and domestic beneficial owner of new LLCs will be required to have their information on file, and will also be required to have yearly reporting to FinCEN. As you can see, it has passed the House already... it may become law soon...

[@jemelking25]

This footage just saved me so much money

[@oakpride]

This gives me a fantastic starting point! Thanks for the video. Bought my first home a little over a year ago and looking at investment properties next.

[@ClintCoons]

Bryan Parks Thanks for watching.

[@mrseximix]

Dang i should have watched this video before i started mine in TX. Still in the process with the state

[@Zanagash]

I’ve been wanting to invest in Real Estates and learned I should create an LLC, I live in WA. Thank god you’re the first video when you type “how to create an LLC” , because I would have never thought about the anonymity thing ! Genius ! I subscribe !

[@ClintCoons]

Welcome aboard!

[@theflyingbman]

Wow great video, Clint. This is exactly the answer I was looking for. Wyoming anonymity compliant LLC it is! 💰

[@ClintCoons]

Glad it was helpful!

[@FacingGoliath]

Wow. This was awesome. Thank you, Clint.

[@ClintCoons]

Glad it was helpful

[@yamahaman2009]

This video was very helpful, i like how straightforward your videos are. Thank you so much for teaching us a great method like this.

[@ClintCoons]

Glad it was helpful!

[@johndingleberry6856]

would it make sense to create a Wyoming llc for anonymity purposes and then put my commercial properties under Delaware ? or should they all be Delaware?

[@122195brandon]

I freaking love this! Thanks! I live in NJ and have been on the fence about starting a RE Holding company (just couldn’t think of a name). Was thinking of referencing my personal name but now I know that’s not a good idea.. but this plan here is genius!

[@ClintCoons]

Glad it was helpful!

[@Darrell_lewis_massage_realtor]

Bro, someone poured a phrase that had the word home in it and I used it as the name of the holding company

[@coachfittnicc3132]

I’m a better person because of you😂😂😂😂 I WATCH YIUR VIDEOS LIKE IM IN CLASS! Thank you for sharing such valuable information!!!

[@ClintCoons]

You are so welcome!

[@jdubski5690]

I’m from Alabama. So set up the main Llc for Wyoming and have all the ones in Alabama under it basically

[@ClintCoons]

Correct

[@lexlekan7552]

My god this is brilliant info. Thanks

[@ClintCoons]

Thanks

[@snowleopard7952]

Corporations are the foundation of free enterprise. Do the folks at NPR understand this? What kind of entity is NPR held as?

[@popbasketball1696]

As communist supporters!

[@breakage959]

they are liberals what can you say. socialist scum :D

[@deecam6651]

Thanks Clint you are the MAN. This is extremely valuable information I'll be giving your office a call.

[@MarcBailey777]

Brilliant as always Clint. Thank you

[@RFABProductions]

Lmao "let's go after him" and you're the owner but protected by the LLC qhabab that'll be funny 😂🤣

[@nathandowell8439]

Basically a Holding Company

[@ericwillis5031]

This is exactly the video I've been searching for

[@ClintCoons]

Eric Willis Thanks for watching.

[@Zenas521]

For example: Holdings WY LLC owns -> REI ND LLC REI ND LLC owns -> Big Fargo Apartments Trust Big Fargo Apartments Trust owns -> 150 Unit Apartment building

[@ClintCoons]

You could set it up as you described but with a commercial property it is often simpler to just hold the property directly in the IN LLC and avoid the land trust.

[@terrycrawford6740]

@@ClintCoons Why is that, Clint? Thanks in advance.

[@snowleopard7952]

If tenants should be able to sue landlords directly; then listeners should be able to sue radio hosts directly as well.

[@ClintCoons]

Hah!!

[@yosifsharrak1423]

Straight and to the point! Love it!

[@ClintCoons]

Thanks

[@haeaneuhila4618]

bro, thats fire stuff right there, bless you Clint.

[@ClintCoons]

Much appreciated

[@nadiyaqt4219]

AWESOME VIDEO!!!...You never disappoint

[@ezequielcipriani]

Wow! Great content, just now hearing your content, keep it up!

[@ClintCoons]

Welcome aboard!

[@taiwoimpactpodcast]

Thank you so much for sharing this info!

[@nickuncut899]

Your a blessing my brother thank you 🙏 god bless you

[@kevincamus4159]

So if I want to focus on duplexes/ triplexes and four plexes.... I should begin with a Delaware LLC!🤔🤯

[@ClintCoons]

I would begin with Wyoming because the investments you are making are not considered commercial for lending purposes.

[@mymx1144]

I can't believe it can be this good

[@Garfieldkp82]

Just stumbled across this video and it is right on time. Thank you for this very valuable info. I am setting up my first 2 LLCs this month. The first is for residential rental properties. Single family home/townhomes, and duplexes. I would like to take your advice and set up a Wyoming holding LLC. If my first rental property is in Washington DC and I anticipate buying more in VA, where should I set up the LLC, VA or DC? or do I need to do both? Thanks

[@ClintCoons]

Depends. If you want anonymity then I would suggest setting up a WY LLC to own your VA/DC LLCs. So the first LLC is the WY LLC. Second, if you do not know where you are going to purchase your next investment property, but if you are convinced you will be investing in both states going forward, set up an LLC in each state. If you plan to use traditional financing to purchase the property then you can wait on the LLC because you will probably not be permitted to close in the name of the LLC.

[@dariuspasilaban802]

@@ClintCoons at what point can you buy a property through a LLC & be able to use traditional financing?

[@ClintCoons]

@@dariuspasilaban802 Anytime will work if you are using the right loan product. If you want to close in an LLC look for nonqualified mortgage I.e., not freddie/fannie

[@MA-uy5vz]

Just subscribed. What a great site with a wealth of well presented information.

[@ClintCoons]

Thanks and welcome

[@andyavila5463]

Thank you for this valuable info

[@allandw]

do you need to live or have residency in either state to create these LLCs?

[@oscarpeddiford7168]

No

[@nguoiyeugio4786]

Awesome! Thank you. I liked & subscribe within the first minute. I have a question... Can I buy property in any state with my Wyoming LLC. Or do I need to create an additional LLC. in that state (under the Wyoming one) to do business?

[@ClintCoons]

Yes you can but if you want anonymity and to avoid the filing of your WY LLC in the state where you are purchasing the property then I like to set up a state specific LLC for the real estate that is owned by my WY LLC.

[@berenxoxo1165]

I’m in real estate too and this type of looking at it is just so predatory. Not making llc but your whole demeanor about interacting with tenants… this is why people call landlords slum lords

[@MrGray-ls7iy]

I just went the Wyoming dept of the secretary of state. I did a query under "Search for business names/filings" I typed real estate to find companies that had real estate in the title of their name. At the very bottom of the page there is a designation for parties. When I clicked on parties it gave me the name of the organizer of the LLC. After watching this video, you said that the owner/organizer is anonymous.

[@ClintCoons]

Only if you use a 3rd party to create your entity.

[@akosingletary5365]

This guy is the truth 🙌

[@ClintCoons]

😀💪

[@alexc.7868]

Two questions: 1. New Mexico also has anonymous LLCs, can I use that as my holding LLC for single home rentals? 2. Let’s say for example if I only plan to buy one rental property in California and do not plan on buying any more rental properties… do I still need a second LLC apart from the holding LLC in Wyoming? In other words do I need two LLCs if I only plan to have one rental property? Excellent content

[@ClintCoons]

I prefer to use WY over NM because WY has charging order protections that are stronger than NM. If you only plan to purchase one rental maybe consider a land trust to a WY LLC.

[@betweentwoaliceacook3954]

Wow this video is worth your time if protection of your identity and assets is what you are looking for.

[@ClintCoons]

Thanks

[@TheBluesk8r]

What about LLC's for Airbnb? Do I need to LLC? How do I structure that?

[@ClintCoons]

Great question. Check back in 2 weeks and you will see a video on Airbnb.

[@JamesBond-lc3bq]

I would like to see a video on this to

[@TheStellarmanCo.]

@@ClintCoons What happened with that video?

[@gregm1733]

Great video. I live in CA, have only one rental house, and my question is: If I DON'T set up a CA LLC, but instead set up only a WY LLC registered as a foreign entity holding my CA rental, would I benefit from the outside COP and anonymity of the WY LLC, or would CA cancel all this out? Thanks in advance.

[@ClintCoons]

It would cancel it all out. Consider using a Wyoming Statutory Trust instead.

[@dodgervision1]

Hi Greg, I am on the same boat as you are. What did you end up doing?

[@allylioness732]

AHA ! Moment thank you

[@jemelking25]

This was amazing information

[@ClintCoons]

Thanks

[@israelvicente6323]

Very good information. Thank you very much.

[@ClintCoons]

Thanks for watching.

[@israelvicente6323]

@@ClintCoons Urw.

[@charlesjohnson7222]

Clint, what if I’m starting a diversified company that has multiple offerings. Let me explain. I’m a pastor, which has its own challenges. I also want to develop a consulting business, own real estate, and potentially have a variety of small service businesses and possibly a franchise or two. How should proceed?

[@ClintCoons]

Charles you will need to schedule a strategy session to discuss: aba.link/bg . There is a lot to consider.

[@figenn_mavisdondurma4785]

this information is worth money elsewhere, thank you.

[@ClintCoons]

Figenn_maviş Dondurma Thanks for watching.

[@MrWest-iy6rd]

How about setting up the holding company to transfer funds to. Would this be outside the country?

[@ClintCoons]

We only set up domestic.

[@ojomominott4587]

I plan on investing primarily in Commercial Real Estate and Residential, why a DE LLC instead of a WY LLC? Pros/Cons? What's the difference between the two states? What if I want to invest in both? WY LLC or DE LLC?

[@ClintCoons]

Typically I use DE for commercial and WY as my holding LLC for residential. DE is more expensive but is well received when working with portfolio lenders.

[@thesofiagirl]

First, I'd like to compliment you on being such a fine avid lecturer. Now, how do you get around the requirement of having to register with a physical address in Wyoming? According to the Secretary of State a PO Box is only acceptable in addition to a physical address.

[@ClintCoons]

Thanks for the compliment. Great question. We have an office in WY and provide a physical address for every WY entity we create. You ned to work with a business located in WY to serve as your resident agent.

[@zehuazhou3390]

Thank you for sharing this info. I used to create an llc using an online website for some other purpose and it was done quickly, but I wonder what documents could prove that I am the 100% owner of this LLC? If the state doesn't know who the owner is, and if one day some random guy steps up to claim that this is his LLC, then what can I do?

[@ClintCoons]

Operating agreement, bank account, EIN letter from the IRS are just a few. Sometimes we are asked to provide an attorney letter for our clients verifying they are the members of the LLC.

[@davidsawyers8754]

This is a good video. I was wondering which LLC I wanted and I will start in SFH and move to MFH after.

[@ClintCoons]

David Sawyers Thanks for watching.

[@superjohn100000]

@@ClintCoons Hi Clint, thank you for all the great detailed videos! I've been watching many of them and the same question as Dave. I own (1) rental property (single family), however looking to grow to eventually have both residential and commercial (multi-family, storage, etc), which state is best to use for the holding company, DE or WY since the assets would be a mix of residential and commercial. Thank you again for all the great videos!

[@rhess10]

Say you have a building that's technically a residence but it's divided in to 2 units. Is that now considered a multi-unit rental? And here's another: Say one building is a big garage on the bottom but has 2 rentals on the top? Thanks.

[@ClintCoons]

Yes it is.

[@TheAlchemist8]

Clint, you’re a great speaker! I’m looking at buying rental properties in Indiana, Tennessee and Texas. Both single family houses and multi-family properties. How do I structure that with a Wyoming and Delaware LLC first and then an LLC in whatever state I buy the properties?

[@ClintCoons]

Since you are looking to invest in multi and single I would opt for DE. However, if you are buying in TN you must be very careful how you create your structure so you do not run subject yourself to the TN Franchise tax. If you would like a FREE 30-minute consultation, you can request one here - aba.link/30minSession

[@TheAlchemist8]

Real Estate Asset Protection I will call for a consultation. Thanks.

[@link651]

What if I'm a Florida resident for example.? When i form the holding entity wouldn't i have to use my Florida address when requesting its EIN? Would that create nexus in Florida? Then I'd have to register the holding to do business in Florida and I'd lose anonimity.

[@link651]

Or should i just use a "virtual address" from Delaware (for example) as a "principal address"? I guess those addresses are flagged in some way because of so many businesses using it. I mean, anyone doing illegal stuff would use those addresses. And obviously i wouldn't want to be linked in any way to those businesses

[@ClintCoons]

You would use your LLCs address when requesting the EIN. If your LLC is holding property in Florida it will need to register in Florida.

[@link651]

Hi Clint thanks for your answer. I'm referring to a holding company in Delaware that only holds an operating entity in Florida its child company is a Florida LLC which operates in Florida. (ecommerce) what address should i use for the holding company in Delaware when requesting the EIN? I'm a Florida resident and member of the holding entity (member managed)

[@goosecouple]

Clint, although you maintain anonymity in the WYLLC, you will lose anonymity when you use the TXLLC or NYLLC to purchase properties as single member. Because being SMLLC you are also the manager who signs the paperwork, and your name goes on public records at closing. You are clever in front, but in the end, you still lose anonymity in the deed. The deed is public record. A clever lawyer working with the creditor is no dummy. Did I miss something??

[@randombytes]

The thing is, youre signing as Manager. Not as a Member. Furthermore, you can have someone be an [acting] manager on behalf of the WY LLC to sign those documents when forming a TX or NY LLC and even signing the deed on behalf of the LLC, in which case you could appoint yourself as manager of those LLC afterwards and have such manager resign thus giving you anonymity and since its an LLC, it can have any authorized officer or agent of the LLC perform actions on the property (including selling) in the name of the LLC.

[@brandonkeeler475]

You can sign as the LLC, not your name. Also you can have the contact go through a lawyer who maintains your anonymity.

[@goosecouple]

@@randombytes I have thought about that. But it wouldn't work because mortgage banks would not allow a non-borrower to sign the deed, would they??

[@goosecouple]

@@brandonkeeler475 Clint has talked about doing that by using a Land Trust that is owned by the non-WY LLC. But now you are saying we can get anonymity without using a Land Trust. I wonder what Clint would say about this conflicting information.

[@brandonkeeler475]

@@goosecouple you would transfer it into the llc afterwards

[@brandonkeeler475]

How do you deal with insurance costs. As far as i know they increase significantly on properties in an LLC which can make cashflow tight.

[@ClintCoons]

Not necessarily. You need to shop it around. National Real Estate Insurance Group or CHUB are a few that come to mind.

[@dacolissampson5800]

@@ClintCoons what if I'm just wholesaling houses how would I go about doing it for an LLC

[@BecomingDrea]

Awesome stuff! Thank you.

[@ClintCoons]

Much appreciated.

[@iammaximus614]

Even, If the property is a small California Multi housing apt? ie: 10 unit or less? That may not be expanded anymore? ie: other RE property acquisition? I was thinking a Nevada LLC for proximity to ms & lower fees?

[@ClintCoons]

Even please contact us for a strategy session: aba.link/30minSession . We use special strategies for California investors to minimize the franchise taxes. NV is not necessarily that much lower and you need to consider how the property is managed.

[@DarrylMurphysr]

Hello, Do you have a video or book that explains why Delaware is ideal for commercial and Wyoming is ideal for residential?

[@ClintCoons]

Not as of yet.

[@bradct89]

Also, can you explain a little more in detail about the reason you gave that lenders prefer WY for residential loans?

[@ClintCoons]

@@bradct89 I did not mean to imply that lenders prefer WY just it is not a factor because you are not typically closing in a LLC when financing residential real estate. Commercial deals are closed in LLCs and lenders do feel more comfortable with DE over NV or WY.

[@sancop]

Real Estate Asset Protection can you explain why.

[@localhandyman1086]

You mentioned you are manager & member of the WY LLC. When you register this WY Holding LLC, you choose Manager Managed. Also do you put your Name as the Member of this LLC as well.

[@pubghayrani5070]

thank you for the advice

[@ClintCoons]

You bet!

[@ServiceStarRealtyPhoenix]

Thank you for this helpful video!

[@ClintCoons]

Glad it was helpful!

[@timofeypirogov3809]

Hi, trying to schedule 30 min free consultation on the site from link in the video and getting error: Please review the error(s) below. 1. Create Lead - Main Lead Source: bad value for restricted picklist field: OnlineMarketing

[@ClintCoons]

Timofey are you using this link: aba.link/30minSession. I just tried it and it is working.

[@gdrinot]

Something I keep running in circles about is with the WY LLC. As far as the general public, it's all hidden and as for the IRS, for example, it isn't hidden. In fact, you you must put who ultimately owns/controls the LLC, right? Well, the issue I keep going back and forth on is, what is it that the business does? Technically, the WY holding company does just that, holds the other companies, so is it what does the LLC ultimately do? When you get asked "what is the business of the LLC?", what do you answer? For the IRS for example, there's no holding option, so would it be "other"?

[@ClintCoons]

Asset management. :)

[@damoripierce423]

Excellent information!

[@ClintCoons]

Thanks for watching!

[@ek07305]

The problem with the Wyoming Llc and Oklahoma llc and the Utah's is the for example in NY state you after your first property you have to use a local llc, which does give your data away once your file for one and check the DOS. So how do you go around that? Trust?

[@randombytes]

I never heard of that being a thing and would like you to provide sources, including ny statutes what states that, but even then, you can still own the NY LLC with a WY LLC or UT LLC or any other LLC in another state.

[@ClintCoons]

NY state has killed anonymity for LLCs involved in real estate transactions. Now you must use trusts of LPs to hold real estate anonymously in NY.

[@ek07305]

@@ClintCoons Thank you, sir. The question now becomes, do they Trusts and LPs the same benefits as an LLC as far as inside and outside liability?

[@ClintCoons]

e K the trust does not but yes the LP does provide the same protection

[@joshuap9035]

So if I live in Georgia and plan on doing business in Georgia wouldn’t I need a LLC in Georgia? I don’t want people to know I’m the owner so how would that work?

[@ClintCoons]

Yes you will but you have the GA LLC owned by a WY LLC that does not disclose your information.

[@rkimpsonyb]

Where should you setup your structure if you're doing both residential and multifamily units real estate?

[@ClintCoons]

I would have a holding LLC in WY and possibly a DE LLC for the multifamily depending on the size of the loan and and my plans for the multifamily i.e., portfolio investment or value add.

[@ahmeygatare7649]

thanks for the advice

[@ClintCoons]

ahmey gatare Thanks for watching.

[@maryandrews6401]

How does the LLC ownership affect financing? How would lenders look at this ownership structure?

[@user_abcxyzz]

Commercial. More interest on commercial financing

[@goosecouple]

@@user_abcxyzz How much % more ?

[@ClintCoons]

Depends on the type of property. If you are looking at residential and a freddie/fannie product you can not get financing with the LLC you will need to take title in your own name and then transfer into the LLC. If you are dealing with a commercial property then you can close in the LLC with financing. One last point if you establish a banking relationship with a portfolio lender then you may be able to close on residential in a LLC.

[@maryandrews6401]

Isn’t changing ownership (from personal to LLC) after financing a trigger to the lender to call the loan. Some have a clause to cover that.

[@grittywuzhere]

@@maryandrews6401 Land Trust

[@stanmoney8470]

If I already have an LLC, Can i get started buying real estate then come back and setup a series?

[@27nine]

Haha he said they wanted the touch screen frigerator

[@silviacarter4411]

good afternoon, do you have information on LLCs and wholesaling?

[@ClintCoons]

Here is a link to wholesaling - kzbin.info/www/bejne/e5zId2mNq5aWh9k

[@ChastityRN]

Clint, with all these LLCs pointing to the first LLC, how do you properly sign documents. How would you sign say for the TX LLC if the WY LLC is the single member of that LLC?

[@ClintCoons]

You sign as the member manager on behalf of the of upper LLCs

[@crownchrist]

Fantastic info 🥂

[@ClintCoons]

crownchrist Thanks for watching.

[@Everydayprojects365]

My problem is all I see it money coming out of my pocket,really complicated structure that is easy for me to mis manage/loose track of things and eat at my bottom line. It’s there a simpler way??? Help the small time invested out please

[@oscarpeddiford7168]

Thanks!

[@jaden_5569]

Great info now i know not to use my llc thats out here in cali with my nick name in to lol...

[@egyptianqueennn7313]

This was a awesome video ‼️

[@ClintCoons]

Glad you liked it!!

[@Babyboi20044]

I wish you would go into it more because I'm missing it

[@ClintCoons]

Check out my other content. I cover this in a lot of detail in many of my videos.

[@damionbrumfield5923]

Thank you for this. Question! Do we have to have a WY resident to be the registered agent to make this all happen? 🤔

[@ClintCoons]

Yes you need a WY registered agent for your WY LLC. We offer this service to our clients.

[@admevictor59]

Very informative!

[@ClintCoons]

Glad you think so!

[@landpro1]

What if I am only purchasing for re-sell Tax deed delinquent properties all over the country? That could be Land/ Residential Lots/houses, apartments etc!

[@ClintCoons]

Typically these are structured via a land trust then the land trust is flipped to the investor.

[@vonnnner]

Great info Clint! I created a WY LLC (holding company) which will own the LLC that owns one of my rentals. However, when I attempted to create a KY LLC to own the rental, KY does not allow business entities to be LLC members. Am I doing this incorrectly?

[@g-code3048]

I wanted to do the same thing I am in Louisville also. Did you figure this out ???

[@stanmoney8470]

Is a parent company the same as a series LLC?

[@ClintCoons]

Yes the parent is the series and the cells are owned by the parent.

[@glencorder6882]

GREAT INFO!

[@12dporter]

Great video! Question: How would this apply with a house hack? Anyway for this to work for a sfr where I am renting out rooms and living there?

[@ClintCoons]

Here you go: kzbin.info/www/bejne/rqLHeJmCeqeHr9U

[@75avan]

Its all good until you need to evict then you in trouble to do it

[@jamesweiland3214]

He explains this in another video. You have the right to evict from the LLC local to your state (so not the Wyoming LLC). If you only had the Wyoming LLC, then yes you're right, you couldn't evict. But since we set up an LLC in the operating state as a member managed LLC, you have the right to evict.

[@randombytes]

Not really. You can still act as the Manager of the LLC that is a subsidiary without giving away that you indirectly own it through a parent company. You could also hire someone to be the property manager who would act in regards to that property, including evicting tenants.

[@ClintCoons]

We also set up the LLC with officer positions so you can act in an officer capacity and this information is not disclosed to the state.

[@Gmc72701]

I was looking into starting an Airbnb business by using rental properties (mostly studio apartments) what would be the best state LLC to start with? I loved this video, very informative

[@ClintCoons]

Typically you would set up the LLC in the state where the property is located. If you want anonymity then you could might start with a Wyoming LLC as the member.

[@civaning5145]

you make it look easy

[@shawntethompson6282]

Why would multi-family investments need to have an LLC in Delaware instead of Wyoming? Just curious of the difference.. Thanks!

[@ClintCoons]

Commercial lenders tend to be more comfortable with Delaware over Wyoming entities.

[@user-hr5xu7ud3p]

If the Wyoming LLC is the holding LLC to umbrella all other LLCs under, should you treat it like all the other LLCs as far as opening up a business account and establishing business credit. And should you use a different LLC for rentals and house flips?

[@ClintCoons]

Yes the holding LLC needs a bank account. Yes you should use a different LLC for flips. Check out my other videos on flipping real estate.

[@LunarFocus]

So in this example of Wyoming and Texas LLC, if you were intending to do real estate business in Texas, which LLC would it make sense to build business credit with? Both of them? Does business credit carry between the parent/child LLCs?

[@ClintCoons]

Build the credit in a stand alone TX entity. Keep the WY out of the picture.

[@TrinaVSTrina]

Should I open a c corp first if I want to do land investing then make my LLC ‘ s off that ?

[@roussmotorco]

thank you for this.

[@ClintCoons]

You're very welcome!