Are there downsides to holding Real Estate in an LLC?
This is not an area with which I have any experience or exposure, but I really thought I remembered, from CPE classes of days long past, and sources which I can no longer recall, or locate, that the recurring advice was, "Don't put Real Estate into an LLC!".
But now I find myself in a situation where someone is asking my advice on the subject and, the little voice in the back of my head keeps saying, "Don't put Real Estate into an LLC!", but I don't know why not, and every resource that's come up when I've attempted to research the topic, seems to scream, "DO IT!!!"
So, I'm looking for a little wisdom of the collective. Is there a downside to holding Real Estate in an LLC?
Or even better, Short of telling me it's because I'm losing my mind, Does anyone have any thoughts about what it is that's trapped back there in my grey matter, possibly slightly scrambled, that's making me think I remember, "Don't put Real Estate into an LLC!"? Am I confusing LLCs with something else? Or is it possible that that used to be the rule, based on circumstances at the time, and now things are different, and LLCs are a good vehicle?