Hi All,  My wife and I are just starting our journey into rental property ownership and look forward to learning from you all on our way.By way of introduction, we are empty nesters with 2 adult kids in NW Wisconsin.Best Regards, Tracy

Our neighbors told us that there are at least 3 adults ( one young couple, one old man) and 2 very young kids living in our property.

There are also tax considerations, such as depreciation and IRS Section 121 Exclusion like you mentioned. 

But I am an adult so I realize that it's the parent's responsibility to raise their little crotch goblin, not the landlord's.

I'd stated the occupancy limit on the property is 4 adults and was a bit unprepared when he filled out the application with 6 total people (himself, wife, and 4 kids).

I've been working exclusively in rentals for the last few years but recently switched gears and thought this would be a great place to share information!

For 2024, the gift tax exclusion is up to 18k.

It is also reasonable to question the decision making of adults who smoke in the house when young children are present. 

Insurance companies have many exclusions and they may not cover everything, but they can help to pay for some of the costs of a lawsuit.Good:Using one LLC for all of your rental properties.

Require renters insurance naming you as additional insured at the time of walk-thru, require valid auto insurance for all vehicles to be garaged on your property, video all walk-thrus, require only the paying adult or adults to be named on the lease, do not require all adults living in the premises to be on the lease.