use c corps for rehabs?

General Real Estate Investing
1

:slight_smile: Hi how are you guys doing? I have heard from david alexander to use c corps for rehabs, and llc for rentals. I’ve seen many posts here to avoid c corps and use s corps instead, is that right? Also, I want to partner up with my friends, we’re going to do wholesaling, which entity is best for that?

Thank you for your reply and may God bless your day

aldi c

2

C-corp will be double taxed, and S is not, so S-corp can save you some tax money. both C and S can protect the members personal assets.

But when you want to transfer some properties with S-corp, it may be taken as a Sale so may involve tax consequence…

I am not a lawyer nor a CPA, please correct me if I am wrong… :wink:

3

Check out John Hyre’s excellent article [u]http://www.reiclub.com/articles/choice-of-entity[/u]