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Author: StockGoddess Big gold star, 5000 posts Top Recommended Fools Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 124933  
Subject: LLC and rental property Date: 3/15/2011 3:31 PM
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My lawyer put me into an LLC to shield me from liability for a rental property I own. The LLC owns the rental, in other words, and nothing else.

I'm trying to decide if it's smart or dumb to pre-pay on the principal on this rental. I only owe about $40K, it's probably worth $100K, I pull in about $750 a month in rent (probably low but I have reliable long-term tenants). I pay 5.875% on the morgage, my payment is $550 a month. I'm just used to pre-paying all debt, but in this case is it dumb? I'm dropping about $1000 a month towards the morgage right now - I can afford it.

Plus this LLC - how do I use it to save money on taxes. I have one and to be honest I don't even know what the heck it is. Books, FAQs?

I'm confused....

Arguments for/against paying off rentals...
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