If you plan to keep your portfolio small (or are house hacking), an LLC may not be right for you. Why You Should Skip the LLC When You’re House HackingDon’t use an LLC when house hacking, because it may prevent you from getting the financing you want. Plus, you might be able to get lower interest rates when purchasing a property as yourself, not an LLC. You might not be able to claim either of these tax breaks on your personal tax return were you to move the property into an LLC. Avoid the tax headache of setting up an LLC outside of the state the property is actually in.