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Make edits, fill in missing information, and update formatting in US Legal Forms—just like you would in MS Word.

Download a copy, print it, send it by email, or mail it via USPS—whatever works best for your next step.

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If this form requires notarization, complete it online through a secure video call—no need to meet a notary in person or wait for an appointment.

We protect your documents and personal data by following strict security and privacy standards.
The easiest and most affordable way to protect and separate your business and personal assets is to structure your rental property business as an LLC. If you need a more rigid management structure or your business is larger, than an S corp may be more appropriate for you.
Because of the one-class-of-stock restriction, an S corporation cannot allocate losses or income to specific shareholders. Allocation of income and loss is governed by stock ownership, unlike partnerships or LLCs taxed as partnerships where the allocation can be set in the partnership agreement or operating agreement.
An S-corp has annual member meetings, bylaws, meeting minutes, and other corporate records. LLCs do not have as many requirements. S-corps tend to work better for property flippers who have multiple projects at any given time. If you flip properties with a friend, an S-corp may be a good idea.
In general, rental property owners may receive the most benefit by making an LLC for each rental property. Individual LLCs limit liability to just the actual property each LLC possesses, along with any other assets the LLC owns.
Top 100 global real estate-owning companies sortCompanyTotal assets ($bn) 1 Evergrande Real Estate 273.8 2 Brookfield Asset Management 256.3 3 Country Garden Holdings 237.4 4 China Vanke 222.696 more rows •
Tax flexibility A real estate LLC can choose to be taxed as a sole proprietorship, partnership, C corporation, or S corporation. Therefore, you can choose the most advantageous tax structure for your business.