Ultimately what ever you do it has to make sense for you if not stay away from it.

But your tenants should ultimately know that you control their ability to remain in that unit, so if they become too difficult -  you just let them know at the end of their lease you will not be offering a renewal if things don't improve - whatever the issues may be.  

In Toledo the owner of the property is ultimately responsible for the water bill.

As you note, I think this is the slightly higher risk play, but ultimately can lead to MUCH higher overall returns. 

I also said it would end up being a big mess and ultimately would hurt the very people they claimed it would benefit.

The ultimate tax-free transfer would be to inherit the property at a stepped-up basis.  

Ultimately though, I invest for cash flow.

They are all paid for already.I think he is referring to a HELOC, but ultimately it is a way to avoid or defer capital gains taxes as the interest rate on the HELOC would be lower than your capital gains tax.

Let me provide some context to help you understand my situation.My GoalMy ultimate goal has always been to generate passive income through rental properties. 

Check with CPA but furniture has its own depreciation schedule (7 years I believe).Ultimately I would check with your CPA to see if it is even worthwhile, and your lender to see if it is even possible.