The example that comes to mind are often are of folks that operated a dental practice, an accounting office, a bankruptcy lawyer and her staff that did quite well in the 2008 aftermath, and so on, during those first few years, taking up a portion of or all of the space.Once you realize what a dumpster fire it is finding good financing for offices, if you need it, I'll be available. 

They're not required for single-member LLCs, but it is best practice.

After a third infraction, you terminate their lease and move them out.Take control, or they will control you.

Find Brandon's videos on YouTube for the "four square" method of analyzing homes and practice.

"Is it a common practice to report it as a loss even though I fixed it out of my own pocket?" 

Imputed expenses are important because they will be included as Operating Expenses when a lender appraiser does its appraisal, and also when the lender calculates its Debt Service Coverage Ratio.Regarding pest control, it's not just monthly roach spraying.

Furthermore, you should explore checkbook control versus having the custodian make all the investments.  

Quote from @Wilson Pereira De Oliveira: I didn't know about this rent control limits in Berkeley.

Accept whoever applies" is an idea that would cost you a bucket of money in the long run.Bankruptcy is usually a "no" unless it appears to be a one-time event caused by something out of their control such as a massive medical bill or a business failure. 

This is standard business practice - just look up how many settlements the SEC makes annually where companies pay millions in penalties WITHOUT ADMITTING to any wrong doing.- Cash-for-Keys is another example of this!