According to @Jay Hinrichs, the back yard might be a separate S corporation as developer for ordinary taxable gains and the front part a 1031 exchange for capital gains. 

Well I just got out of college and started my corporate career so that’s why I don’t have the cash on hand yet.

all these millionaire using leverage and creating low debt for themselves.All CEO issuing stock options, issuing corporate bond , stock buyback is all about creating low cost debts.

Bottom line: Baltimore City is not nearly as friendly to an ADU as you would expect for a densely populated urban jurisdiction where many of its political leaders call for increased density, inventory, the end of single family zoning, etc.

This means that you will probably need to pay registration and filing fees in at least 2 states if you don’t buy CA property as a CA resident.Any lawsuits should be limited to the assets of the LLC and not your personal assets (assuming you run the LLC appropriately and the corporate veil is not pierced, some debate as to SMLLC).

The reason there is a housing shortage has nothing to do with STRs and everything to do with politics.

Trace the filings of the corporation you discovered— might give you some clues.  

Neighbors won't like the noise and dust but keep them on the lookout and be SUPER polite and kind they can help save you money.

(Corporations had huge problems with this in 2008.)

I complemented it looking for more documents at the IRS site with Lance’s words and it was extremely helpful.Indeed, a multimember LLC can select how to be taxed sending a form to the IRS and, If taxed as a partnership or corporation, not be subject to FIRPTA because it is not a flow through entity (for this tax withholding purpose ) anymore.Anyway, I want to have a meeting with a real estate experienced CPA in the DFW area in order to clarify any details and establish an LLC with everything covered.