After reading my last blog “10 Advantages to Cottage LLCs”, you may have decided to transfer your family vacation home into a New York LLC.

These are the eleven  steps to forming  a New York vacation home  LLC:

  1. Consult with an attorney with expertise in real estate, business  and estate planning law.
  2. Consult with an accountant regarding the gift, estate and income tax consequences and filing requirements of transferring, owning and renting the home.
  3. Check the New York Department of State (NYDOS) database search for name availability.
  4. File LLC articles of organization with the NYDOS.
  5.  Publish a legal notice for six weeks in a daily and a weekly newspaper.
  6. File a certificate of publication with the NYDOS.
  7. Issue membership share certificates.
  8. Draft a detailed operating agreement which will be discussed in a future blog.
  9.  Obtain a federal tax identification number from the IRS.
  10. Open a bank account  in the name of the LLC using the federal tax identification number.
  11.  File  a deed with the County Clerk transferring title into the name of the LLC.

A properly formed LLC will be instrumental in preserving your vacation home for all to enjoy.