I know there's limmited vs. unlimmited liability, etc.

Is it both liability and property coverage?

(he said there is 100 amp panel)My concerns of keeping it as a rental is liability if I don't replace everything with drywall...which would prob kill the deal for me.

Also, I would personally get rid of the dishwasher as well, 1 less liability to worry about.

This step ensures that your IRA remains compliant and that you don't inadvertently violate any regulations regarding personal guarantees or liabilities beyond the property itself.

@Carlos PtriawanExactly and in a lawsuit discovery would occur high could open the sponsor up to personal liability - especially if they mismanaged the money.Odds are GP would sue an investor who the sponsor lost all of their money would be low I would assume.

Putting into LLC is recommended by attorney and for liability protection purposes.  

Considerations should include existing debts and liabilities associated with each property to ensure a comprehensive evaluation.Communication is paramount throughout this process.

@Matthew Wright you're going to have a hard time doing this.Currently, you are bypassing a LOT of regulation requirements by letting the prospects pay the 3rd party directly.If you want to collect Application Fees, you will need to take on all the responsibilities & corresponding liabilities of Fair Credit Reporting Act and Data Privacy regulations. 

It lessens our overall control substantially and thereby increases our liability for the project(s).