3 Steps to Protecting Yourself From Being Sued

No one gets into the real estate to make money and then give it away to others by lawsuits. And even if we think that this does not happen to everyone, the truth is that it does if we’re not careful.

Statistics go to show that Americans get sued at least seven times in their lifetime and that number increases especially if you have multiple properties.

It could something as simple as someone getting hurt on your property and being able to find a lawyer who wants to take everything that you’ve worked so hard to own and earn.

So, the bottom line is to really make what you own so difficult to sue that lawyers will avoid taking such cases in the first place.

Here are 3 steps to protecting your real estate that are a must:

#1: The Land Trust

It’s hardly a good idea to title a property in your own name. Even if you have one property, it’s advisable that you pick a unique name and make it a land trust. This will make harder for people to sue you since the name of the owner will not be shown when you make a separate trust for each property.

#2: The Trustee

With land trusts, there’s always a beneficiary (the owner) and the trustee. Both these people aren’t usually the same person. The latter is given the task of managing the property. However, it’s important to note that the trustee can be forced to reveal the beneficiary’s name in a lawsuit.

#3: The Corporation or LLC

Another option would be to form a business entity in the form of a corporation or LLC and the beneficiary of the land trust instead of your own name. If you want to add another layer of protection then file these papers in Nevada where the officers or shareholders of any corporation or LLC is not revealed on public record. This makes it even more difficult for lawyers to find you.