It seems kind of obvious to me anyway. An LLC, by very definition, is a business or investment entity, therefore if an LLC owns property, it can’t be a primary residence. You’ll have to get business insurance (as if the house was a rental, minus all the extra deductions a rental can generate), which will probably be a bit more expensive and won’t cover contents. You should be able to get a reasonably priced renters policy for that. You’ll also have to register the LLC in California, and pay $800 minimum tax every year, in addition to annual registration fees (I think that’s $25 a year.)
Might be better off purchasing the home in your own name, with as large a mortgage as possible, then transferring it to the LLC, and buy all appropriate umbrella coverage. Unless of course, the homestead exemption is important to you because of a pending bankruptcy. In which case that transfer to the LLC would be voidable as a fraudulant conveyance.
If your attorney knew what you were planning on doing, he/she really should have advised you of the potention pitfalls.
