The thought of making such a big purchase can be a frightening one when everyone else you know is hiding money under the mattress. But if done the right way, and with the right guidance, it can end up being the best move you’ll ever make for your retirement. Dan Kadlec of CNNmoney.com shares four steps to taking the leap and landing the best deal in his article Home Sweet Retirement Home.

Kadlec’s advice is just what the doctor ordered, especially his suggestion that you “drive a hard bargain.” As a culture of retail stores, where everything comes with a price tag, many of us have forgotten the fine art of bargaining. But Kadlec reminds us that this is a buyer’s market, and there’s nothing wrong with a little bit of haggling—especially if you’re the one with the upper hand. He also advises that you know what you can afford. Don’t let the spirit of bargaining carry you away. Know your limits and stick them!

But perhaps Kadlec’s best advice is to “pick your sweet spot”. This is the place where you will be spending your golden years, where your grandchildren will come to visit, and where you’ll spend those lazy days of retirement sitting on the porch and watching the sun set. Don’t just pick any place because it’s a deal; pick the place you’ll be happy to wake up in every morning.

What I often advise my clients to do is transfer the rental property into a separate entity such as an LLC. The client can be a manager and member, but the property will not be in their name, but in the name of the LLC.  The liability is limited to the assets in the corporation (which is the value of the rental property).  Not only will this limit personal liability, but often times it helps in Estate Planning when the client’s estate may ultimately be taxed upon death. The deed, rental agreements, rental payments, insurance policies, utilities, etc. would all be in the name of the LLC.  Any income from the rental property would be placed in a separate bank account with the LLC as the owner.

Unfortunately we live in very litigious times.  Doing whatever you can to limit your personal liability is not ownly smart but in the long run will save you more money than you can imagine.