Connecticut LLC for Real Estate
Connecticut real estate investors use LLCs for liability isolation per property. The $80/year annual report per entity makes multi-LLC strategies more expensive than low-cost states but reasonable for the Northeast. For formation, see our LLC guide. For industries, see overview.
Why Use LLCs for CT Real Estate
- Liability isolation (tenant lawsuits, property defects contained per-entity)
- Connecticut conveyance tax applies on transfers (consider when transferring property into LLC)
- $80/year per LLC is the ongoing cost for protection
- PET available if rental income is significant
CT-Specific Considerations
- Conveyance tax: Connecticut charges a real estate conveyance tax on property transfers. Transferring to your own LLC may still trigger this — consult a CT real estate attorney.
- Municipal property taxes: Connecticut relies heavily on property tax (no county government). Rates vary significantly by town.
- Rent control: No statewide rent control, but local ordinances may apply.
Cost for 3-Property Portfolio
Ready to get started?
Get Started| Item | Amount |
|---|---|
| Formation (3 LLCs) | $360 |
| Annual Reports (3 x $80) | $240/year |
| Registered agents (if professional) | $297/year |
FAQ
Does transferring property to an LLC trigger CT conveyance tax?
Potentially yes. Connecticut's conveyance tax (0.75%-2.25% depending on municipality and value) may apply to LLC transfers. This is a significant consideration — consult a CT real estate attorney before transferring property.