Real estate investors often reach a point where owning rental property in their individual names no longer makes sense. When rental income begins to represent a meaningful part of the family’s wealth, the most important issues revolve around how to keep an issue with one property from putting everything else at risk. Two structures that are frequently used to this end are Wyoming LLCs and Series LLCs.
Both can be useful for real estate ownership, but they solve different problems. A Wyoming LLC is generally a traditional LLC formed under Wyoming law. An Illinois Series LLC, by contrast, allows one parent LLC to create separate “series,” or legal entities, that can each hold different properties or assets. If the structure is created and maintained correctly, liabilities associated with one series can be kept separate from the assets held by another.