When you are getting involved in the real estate profession, there are numerous avenues that you can take to establish yourself. You can start a corporation, though that is a big step in terms of getting your feet wet; you can also come in under someone else’s umbrella instead of working for yourself. However, perhaps the safest way to go if you are establishing your own real estate operation is to start a real estate LLC in Arizona. Also referred to as a limited liability corporation, an LLC helps to protect your assets when you launch into business for yourself.
This means that your personal assets, and those of your investors, are precluded from being considered should you run into problems with creditors. There are also tax advantages to setting up a real estate LLC in Arizona, which is a plus since the market has a tendency to fluctuate, depending on geographic location and the economy at large.
The process of setting up a real estate LLC is actually fairly simple. It consists of forms provided by your state’s Department of Business Regulation or Division of Corporations. You will need to provide a few details about your company and yourself. You should fill out this paperwork with an attorney to ensure that all of the pertinent information is included. There are sites that will charge exorbitant fees to undertake this task for you; avoid them like the plague. A good lawyer that specializes in real estate LLCs and tasks of that nature won’t charge you an arm and a leg – in most instances, anyway – to assist in getting your company set up. Moreover, you know that it will be done right, which is something that can’t be guaranteed when you pay an online service to do it.
This is also a great option for those that don’t want to set up a real estate LLC as a company, but rather to receive protections when investing in real estate. It should also be noted that when dealing with investment properties, you need to set up a separate real estate LLC for each one. This helps each property to remain self-contained and protected from one another should a deal go sour. This means separate feels to be paid on each LLC, but most investors are happy to pay it for the peace of mind this type of established identity provides.
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If you are not sure as to what legal document you currently have contact one of our professionals to help you with your estate planning. They will make sure you have all of your grounds covered and have the right legal documents that best suite your wants and needs.
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