Should I form a business

General Real Estate Investing
1

in real estate investment, even if I’ve not yet own a property? If so, How and what entity(Note : i’m in CA).

2

What do you want to do with RE?

This makes a difference…example an LLC is good for rental property that you are going to hold onto. An S or C corp may be more suitable if you are doing a rehab.

OHLandlord

3

Until you have firm plans to own property, there is no need. In CA you would have to pay the minimum $800 annual franchise tax even if you own no property; so wait until you are ready to buy something.

An LLC is superior to a corporation for asset protection.

You can choose to tax your LLC as an S-corp to take advantage of its tax benefits.

Whether you plan to “hold and rent” or “rehab and sell” makes no difference in the type of entity that is best. LLC all the way.

4

Thanks, I trying to work on my business plan. So, before I have something put together i’ll know more to ask…

Thanks