62 minutes | Sep 10th 2020

How I Bought Over 100 Properties With LLC's and Trusts ft. Clint Coons on Founders Club

Are you constantly worried that your real estate investments are not adequately protected? Worried that an innocent mistake can take away all the assets that you have worked so hard for?

Our guest for today, Clint Coons is an attorney and real asset protection expert. He is the founder and managing partner at Anderson Law Group.

In this episode, Clint joins Oliver to reveal the right legal structure for your real estate investments so that your assets are properly protected from litigation and creditors.

Today, Oliver walks you through the nitty-gritty of creating an LLC to house your real estate investments. If done the right way, you can create a separate legal entity that can safely house your prized real estate assets. 

Other topics discussed on this show include how to set up a land trust, C Corp’s vs. S Corp’s, benefits of forming an out-of-state LLC, and the different costs for setting up an LLC.

We hope you enjoy this show!  Tune in now!

Key Takeaways:

  • 00:00 – Clint’s background information
  • 01:46 – Two Biggest Takeaways after buying 100 properties
  • 01:46 – Things to keep in mind while buying out-of-state properties
  • 06:02 – Will housing your real estate assets in an LLC help you adequately protect your assets?
  • 07:34 – How to create a legal structure that grants you anonymity
  • 09:44 – Will you encounter any issues with your lender if you use an LLC?
  • 11:27 – Are you and your assets legally protected if you use an LLC? 
  • 13:58 – Can a lender pushback your loan application if you are trying to invest as an LLC?
  • 16:20 – Setting up a land trust to protect your primary residence
  • 17:20 – Who controls the land trust – the trustee or the beneficiary?
  • 21:03 – Benefits of setting up an LLC as a trustee 
  • 22:06 – How to use LLC’s to adequately protect your real estate rental investments
  • 25:53 – Can you save your tax dollars by using a C Corp? Are C Corps better than S Corps?
  • 28:56 – Learn how you can get Clint’s Real Estate Asset Protection book for FREE!
  • 30:04 – Can you protect your real estate assets if you are staying in a litigious state like California?
  • 00:37:24 – Forming an out-of-state LLC
  • 00:40:57 – The Basics - How to set up an LLC
  • 00:42:50 – What is the cost of setting up an LLC?
  • 00:43:24 – Best states for setting up an LLC
  • 00:45:23 – Should you hire a fire to set up an LLC?
  • 00:46:36 – Typical costs for setting up an LLC
  • 00:48:34 – Do you need to set up a separate LLC for each property?
  • 00:49:49 – What is the benefit of setting up your LLC as a partnership?
  • 00:54:20 – Clint shares his contact information

 

Quotes:

“I've been in the process in the last two years of cutting all that stuff out of my portfolio, and sticking with the concentrations of where I have the majority of the investments.”

“You're going to have to close in your own name because it's a personal residence, but then I would transfer it to a land trust and I would set my land trust up with a nominee trustee.”

“When you run your business as an S corp because it's a flow-through all that activity shows up on your 1040 and lenders know you're in business for yourself.”

“And if you do not understand the risk, you then will not be able to appreciate the risk and by failing to appreciate the risk, you're going to take action that will possibly result in you going through bankruptcy, losing all of your assets.”

Resources:

Founder’s Club

Clint’s Real Estate Protection Book