@Willson GuimontYou can exchange into a Delaware Statutory Trust or a Tenant In Common, but not a REIT. 

I know there are some filing fees with the recorder of deeds (Delaware), but what other fees are there?

@Connor HeimMost small dollar units of property that you mention can be expensed under the 'de minimis safe harbor' by making an election on your return.A competent CPA will ask for a ledger or detail of the supplies account and fixed assets accounts to make sure everything is where it needs to be for tax efficiency.

@Alexander Vasquez have you read ‘Real Estate Riches’ by Dolf de Rooz?

Looking to expand my portfolio by networking with fellow investors in the PA, NJ, and DE areas.

I've heard Delaware because it's inexpensive to file and the taxes are lower, but I've also gotten the advice to just house it where I live (California).

I've heard Delaware because it's inexpensive to file and the taxes are lower, but I've also gotten the advice to just house it where I live (California).

I've heard Delaware because it's inexpensive to file and the taxes are lower, but I've also gotten the advice to just house it where I live (California).

@Brad De VriesSome considerations:1) If you are planning to use a conventional lender, your parents would have to "gift" the down payment to you as you cannot borrow the down payment (it's your "skin-in-the-game").2) Capital Gains tax is a federal mechanism.  

I was just doing research on the Tax Code 179 and most are purchasing their "work vehicles" out of Delaware or Vermont and avoiding the 6-7.5% sales tax since the entity is out of those particular states.