Has anyone used their LLC to purchase a home as their own personal residence. I was curious as to what advantages/disadvantages there are in doing so. I am currently forming an LLC for future investments, but the investing will start at a later date. Right now I am in the process of looking for a home for my own use which I plan on selling in the next couple of years, which brings me to my question about the LLC for personal use. Any thoughts on this would be great. Thanks in advance.

Erin

Try looking into a Land Trust instead of an LLC.

Very few reasons exist that would promote placing primary principle residences into any form of entity except for estate planning and depending on your state laws a Land Trust may be a viable method. An LLC for your primary residences will significantly complicate ownership and could cost you many of the tax advantages of home ownership and if available in your state, homestead exception credits. It will also complicate mortgages and insurance. It could actually trip the DOS and lender could demand full immediate payment of balance of mortgage, if you had a claim from insurance... a good chance you will find you have given the insurance companies added reasons not to pay. It could also reduce your credit score or at least complicate it because the property is not show as an asset or liability. Normally real estate is considered "good" liabilities vs cc debt which is "bad".

For non primary residential properties the use of LLC and Land Trust has a much more positive features including asset protection and ease of profit and loss flow through.

But don't consider either until you understand them completely and you will not learn that on a forum such as this.

use a land trust with your primary residence without the LLC

use a land trust with your LLC as a beneficiary for your future investments