@Rud Sev, I would ask the syndicators you are considering if they have any sample K-1s they have issued in the past to try to get a general idea of how they treat their common taxable items.There are a few things that are likely needed to be outlined:Your capital account balance for the investment, i.e. how much money the syndicator is saying you have outstanding at any time and used to calculate preferred returns, can vary from your taxable capital balance shown on K-1.  

You will get people willing to share in high demand areas and you will see this in high rent areas but you are keeping up the common areas and it is a bit harder.

It’s worth understanding their opinion and sometimes this kind of request means they see more potential in the deals than they’re letting on.

Make sure everyone knows a cleaning schedule, expectation for common areas, how are you splitting utilities, guest policy, etc. 

But it won’t take that kind of event for someone who needs cash flow to fail.

The most common options used by investors seem to be an LLC or Umbrella Insurance. 

Only thing better would be initial deposit and then paid in full upon Certificate of Occupancy and punchlist complete.Of course, standard items should also be checked: licensed, insured, willing and able to pull all required permits, reference checks.I would also commonly avoid the cheapest bid you get.  

Amortization length along with any DSCR requirements comes into play also to determine what kind of down payment requirement you may have to meet. 

I'm also considering a separate living room space or maybe some kind of artist studio. 

Otto, in my opinion the kind of ROI you’re talking about is well worth the “risk”.