Nothing can be much better if Eric Dalius create a rental property LLC in Florida in terms of business. An LLC is nothing but a business entity owned by a few business owners or entrepreneurs. You can start an LLC in Florida on your own or with some of your partners. Each owner of an LLC is known as its “members”.
Now the question that may arise is how as a landlord you can be benefited from creating an LLC for your rental properties? Well, there are several benefits to creating a rental property LLC in Florida. So, let’s dig a little deeper to find out the top benefits of creating an LLC as discussed by Mr. Eric J Dalius.
Superb Liability Protection
The very first benefit of creating an LLC rental property in Florida is that it provides excellent liability protection. You can protect your personal assets by opting for an LLC. For instance, if as a business owner, you create an LLC for your rental properties, you can separate your personal assets from your business. If in any circumstances, you have to face any event of litigation, you could save your personal assets from being litigated as per the business law in Florida. So, this is indeed the best benefit of separating your personal assets from your business assets by opting for an LLC rental property.
Saves from Double Taxation As Pointed by Eric Dalius
If you wish to get a taxation benefit in Florida, it would be best if you create an LLC. Opting for an LLC is the best way to avoid double taxation. The circumstances of double taxation can occur when the corporation of Florida taxed against your business revenues and again taxed you for your personal income. But if you choose to create an LLC for your rental properties, it will allow you to “pass-through” the double taxation burden. Instead, you have to pay taxes against your total personal income only which is including your income from rented LLC properties as well.
Separate Your Different Properties
If you wish to rent multiple properties and want to separate them from each other, creating a different LLC for each property can be convenient for you. Only separating personal assets from the business is not enough. Instead, you should separate your multiple rented properties as well. For instance, if you face any lawsuit against your one property, it won’t make any harm to other properties that you own.
So, as you have gone through the whole article, now you must have understood the benefits of creating a rental property LLC in Florida. Although, the mentioned benefits are not the only benefits you enjoy if you opt for an LLC in Florida. There are several others too that could be beneficial as well. But here in this article, we have tried to point out the most important benefits that will help you to gain more money from Florida’s real estate business for sure.