There is a price and a pro forma.

Are they using T12/in-place numbers or pro forma, or likely some combination of the two.

You should run so pro forma numbers factoring in the differences between the higher taxes, insurance, principle and interest and see if your money would be better spent buying 2-3 cheaper $100,000 rentals versus one $300,000 unit.  

I think of it as if I non-biologically created another "person" when I form a LLC. 

I found this article though that might be helpful regarding partnerships and the types of business entities that you should look at when trying to form a partnership for RE investing.

And with all-time low interest rates, if you have a deal that works now is the time to buy and lock in the low rates as long as you consider the market forces at play.Let’s talk about some key points that can help you prepare for success and avoid catching the falling knife if you are just getting started or looking to scale your multifamily business:· To pick up on conservative underwriting, now would probably not be the time to maintain 2-3% rent growth in your pro forma.

It would be great if I could consult with an attorney about this situation, but also just to form a good working relationship for future projects and investments.Best,Tom

@Kal SeirafiAre you marketing, or plan to market, a pro-forma NOI that includes revenue from the space?

For me it has always averaged to 5% and this is what I have seen used on pro formas for large complexes too. 

@Christopher Brown the question of legal entity is (obviously) a legal question, and if you're going to do real estate you'll need to form a relationship with a real estate attorney anyway, so I'd recommend you find a good real estate attorney (I can recommend a few in RI if you don't know any) and ask her/him.As a "general rule", for an active business with earned income such as wholesaling, an S corporation (either an actual corporation or LLC taxed as an S-corp) is commonly recommended, and a flow-through entity such as a single member LLC, partnership LLC or trust is commonly recommended for holding rental properties (rental income).There are subtleties between the right entity for legal protection, and for tax effectiveness, and the right answer for you and your situation might not be the right answer for someone else, so it's really a good idea to consult with an attorney and tax advisor about your specific situation and plans.