Where To Hold Property S Corp Or Personally?
I recently started an S corporation. I am trying to determine wether to hold the properties I own in the Corporation or personally. How they will be treated tax wise and what extra protections I have with either.
Property 1 I bought with hard money personally do I want to put that in the S corp as asset or just sell it outside? Will I pay more in taxes this way or not be able to expense items?
If I need to give more detailed info I can.
Thank you for the response. It seems that a S Corp or LLC will provide the same personal protection for my assets. So putting the properties into the corporation will protect my personal assets.
Thank you again for the example and information.
Make an appointment with an RE attorney in your state. A mortgage typically uses a single peice of property for collateral and a default would affect no property other than the specifically meantioned property used as collateral. I have seen some mortgages, especially investment property mortgages, that will cross collateralize other properties with the same lender - but never across lenders. IBut again, speak with you attorney and read your mortgages, and when in doubt do not get a mortgage with the same lender as your homestead property.