Before investing in investment real property, it is very important that you develop an asset protection strategy which accomplishes a number of goals, including, among other things, protecting your personal assets from any liability arising from the property (i.e., if someone gets injured at the property), and protecting the property from your personal creditors.
There are various decisions that need to be made when making these types of asset protection strategies, including how to hold title, whether personally, as a limited liability company, as a trust, or in some other capacity, as well as, in what state to form any type of LLC, etc.
These decisions are best made prior to or at the time of the purchase of the property. However, if you didn’t take care of it at the time of purchase, they can still be implemented after you have acquired the property.
Asset protection planning can end up being critical down the road in minimizing your personal liability, as well as protecting assets and wealth. I regularly represent clients in California throughout the Bay Area, and in the East Bay, California, in developing and implementing asset protection strategies when acquiring investment real property. If you have questions, or need assistance in developing and implementing an asset protection strategy from a California attorney, please feel free to contact me to arrange for a consultation at (510) 465-0025.