You will get double taxed using an LLC, unless your partner is a majority holder (ie.51%) then there may be a possibility of avoiding this.  

Quote from @Simon Ashbaugh: Hey Anna, Cleveland actually has a strong Section 8 market with high demand from voucher holders.

The seller/existing note holder is flipping out at my servicer saying I cannot do this, they were told by the person that bought it that once the loan was reinstated it would start reporting positive again on credit and they cannot foreclose (oops a sub2 person should have been honest with the seller).It sounds like the person who bought it sub2 does not have the $ to refinance it.

There is barely a voucher holder applicant with a clean background.

Yeah, I'm a buy and holder.

Meanwhile most who obsess over entity formation fail to carry proper insurance, work with unlicensed and uninsured contractors, fail to execute contracts, can't explain the difference between being listed as additional insured and certificate holder or request to be listed as additional insured on vendors insurance policies etc.

@Phi Tran if the borrower pays until maturity the note holder will never see appreciation of the asset.

Such a scenario doesn't just bring values down by 30% but also places substantial pressure on property holders, especially when debt refinancing looms on the horizon, compelling action at these reduced market values.Here is the double whammy that increases the cash in refinance needed, the capital markets (bank lending) terrain has tightened greatly.

I am looking for another likeminded individual to hotel hack with.I am a late thirties, real estate agent/ flipper,  airbnb host, and long term buy and holder  from NC!

(All subordinate lenders should always call their senior lien holders and get to know them.