Posted by Joe(NoVA) on April 23, 2002 at 12:28:40:
This has been answered numerous times on this forum. The conventional wisdom is you should hold your rentals in an LLC and keep them separate from your rehabs, which should be put in a corporation (S or C). Among other reasons, this minimizes the possibility of having your long-term holdings tainted by the “dealer” status your corporation would acquire from buying and selling real estate in volume.
I will be working as a real estate investor part time for now. My main interest will be rehab properties for purpose of resale and possibly renting out a few. Which would be the best is best for this purpose, an LLC, or a C or S Corporation.
There will be no other partners involved at this time.