LLC or S Corp for Rental Property: Everything to Know

Choosing between an LLC or S corp for rental property can be difficult. Generally, an LLC is typically better for rental properties than an S corp.3 min read

Choosing between an LLC or S corp for rental property can be difficult. Generally, an LLC is typically better for rental properties than an S corp. However, both offer:

• Liability protection for the owners.
• The chance to avoid double taxation by being taxed as a partnership.
• The ability to easily add new partners.

Understanding S Corps

An S corp is just a standard corporation or other legal entity that has a special tax classification. When forming your corporation, you can choose it to be taxed as either as S corp or a C corp depending on state law.

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