Not exactly companies where the share holders did not do well in their disappearance.Also 17 years on average for a stock to recover after a crash? 

The deduction for real estate taxes and the mortgage interest gets passed on to shareholders.

@Teresia Saylerdouble taxation is normally referenced to corporations where a tax is paid by the corporation and again by the shareholder when there is a distribution.There is nothing that screams "double taxation" with a 401K.I would take a 401K loan over a hard money loan every time if given the option.

Do I just need to form an entity (LLC or the like), with each shareholder having the agreed upon % of that company (i.e. real estate)?

It is important to keep a separate bank account for the LLC for legal purposes, but for tax purposes , taking money out is just considered a distribution to the shareholder (you).I agree with Natalie- if you don't need the money, I just wouldn't charge your rental property a management fee.If you do need the money, as long as your distribution does not decrease your basis below 0, then it shouldn't be taxable.

@Mohamed NagoorYou should look at this in a separate few steps:1) You fund your LLC (shareholder contribution) with $100k2) Your LLC spends $70k on inventory (the house), and puts in an additional $30k to improve the inventory.

@Daniel ScullenThe C-Corp generally makes sense if other investors (shareholders) will also invest in the C-corp because it will afford them limited liability. 

I'm neither a lawyer nor an accountant, but I recommend Googling "closely held corporation" and then asking your tax accountant how, if any, the proposed idea might impact your overall tax situation (https://www.irs.gov/faqs/small-business-self-employed-other-business/entities/entities-5: A closely held corporation is subject to additional limitations in the tax treatment of items such as passive activity losses, at-risk rules, and compensation paid to corporate officers.).I've read that when two closely held corporations owned by the same small group of shareholders do business with each other, the IRS sees a red flag because some people try using this approach to evade taxes.From my readings of personal finance articles, this additional scrutiny is based on whether there is an "arms length" between the two parties in a transaction. 

"privacy", I mean that an LLC or corporation offers specific, legal protections that limit the liability for some actions to the company vs. its members or shareholders.

After all, they're the ones who lost $74B of their shareholder's value last year, while paying themselves $38B in bonuses.all cash