3 ms·
A large portion of homes are being bought and listed as rental properties. And whilst the overwhelming majority are purchased by individual investors, a non-neg
by gzer0 5y ago
A large portion of homes are being bought and listed as rental properties. And whilst the overwhelming majority are purchased by individual investors, a non-negligible amount is via LLCs, LLPs, and corporations.
This has the same effect of complete removal from the supply-side as the home is no longer considered part of the 'for-sale' pool.
This leads to artificially inflated prices for homes that are actually for sale, since rental properties are removed from that pool.
- indymike 5y ago>And whilst the overwhelming majority are purchased by individual investors, a non-negligible amount is via LLCs, LLPs, and corporations. Most of those LLCs and LLPs will be smaller investors. I would not think of buying a rental an not using an LLC - even if it would be for just one rental. I'm not sure the kind of entity that owns a property matters all that much. For $150 plus a little extra paperwork, a LLC really does de-risk the rental business.