Co-ownership is a popular way to purchase real estate, but forming a limited liability company (LLC) to manage the property may not always be the best option. This article will explore the drawbacks of LLCs for co-ownership arrangements and offer
Tenants in common or joint tenancy may offer more flexibility and lower costs for co-ownership arrangements. These options do not require the formalities of an LLC and offer more straightforward ownership structures.
Co-owners should carefully consider the advantages and disadvantages of forming an LLC before making a decision. While LLCs may seem like a convenient option, they may not always be the best choice for co-ownership arrangements. By exploring alternative options, co-owners can find a structure that offers the flexibility and protection they need without incurring unnecessary costs and formalities.