How do i legally open up my own Real Estate Investment Company?

Question

Just wondering how i legally open up my own Real Estate Investment company. Is a LLC or an INC better?

Answer 1

Your best bet is to register as an LLC - it is a lot more flexible than a corporation. Additionally, from my observations, most real estate investors prefer LLCs rather than corporations. In fact, most of Donald Trump's companies are LLCs.

Anyway, to open a real estate investment co., you must have a name for your company, and you must register it under a state. Most real estate investors register their companies in Delaware or Nevada because these states seem to be the most flexible when it comes to business. You'll have to pay an initial fee for registration and annual taxes for your profits. To register, go to www.corporate.com for further information.

BTW, you'll also need to hire a lawyer and an accountant to avoid legal issues and pay less taxes.

Answer 2

Patrick is actual. they have won the residing house undertaking to the prevailing mortgage, which relatively potential the deed is of their call however the private loan is interior the call of the guy they offered the residing house from. they are actually finding to circulate the deed to you, and function you're making the money. verify you're making the money your self for the private loan, and don't depend upon them to do it. They (or the unique proprietor) will ought to touch the private loan company and enable them to understand which you're allowed to get information on the private loan whilst mandatory. The mortgage statements ought to pass on on your handle additionally. as long as you're making the money, you will own the residing house as quickly as the private loan is paid off. they are going to maximum possibly use a provide up declare Deed to circulate possession. i does not propose letting the private loan company understand. one element you will ought to do is save the prevailing coverage in place (which would be lined interior the month-to-month mortgage fee, yet you ought to be certain that), besides to getting coverage on your call (in basic terms for your self, don't have the private loan company named as added insured) so as which you're lined if something is happens to the residing house.