While I'm by no means an attorney, of which you should consult for advise, my experience and in talking with numerous real estate attorneys if you have a property in an LLC and you get sued, the party bringing the suit can look beyond the LLC and bring suit against you personally or the controlling members.

Its by far the best thing you can do in real estate tax wise is that 500k tax free we have done it numerous times on our CA and Or homes.. over the last 40 years not always 500k but some were and some were darn close..  

@Zack Brent Thank you for the goodwill and invitation I would definitely love to stay in touch and learn from your experience and knowledge.

Knowing my numbers helped me pass on numerous properties throughout the process of finding this one.

The company we did the work for was ‘Invitation Homes’.

There are numerous exceptions that limit the scope of the application of major provisions to certain landlord types.

I invited my business partner to an out-of-state multi-family investor meet up.

Numerous people have posted recommending a rental(s) over a flip.

I invite you to do the exercise for any of the cities that I listed. 

I've also written several detailed blog posts on the process and what is involved in making it happen.My personal experience here in Western PA on two projects that I considered working on as an approved contractor and also my numerous interactions with 203k-approved contractors and investors who have tried to work with the program is that the bulk of contractors in my area come to this kind of work expecting to charge what I would call "high-premium" prices for their work and to recommend, occasionally with an expected financial understanding with the 203k consultant (kickback), the widest possible scope of work on projects to renovate the house.