I asked my Allstate agent to have a landlord insurance and the policy holder to be the LLC but he said the policy holder has to be a person we can't put an entity as a policy holder.

I would also require to be a certificate holder, this will notify you if the policy ever terminates for any reason.

Since I have about 30 years of experience of construction management and I also had a real estate broker license holder in Texas for about 30 years too.I am also a college graduate and got a business degree (with honors) that emphasized real estate.  

HELOC is a second mortgage on your house and if you plan to get it - first lien holder definitely will know it, most likely before you even close on it.2.

"Bank Owned" refers to a status of ownership (kind of).When something is foreclosed, the ownership is taken over by whoever the note or lien holder is / was - sometimes called "the beneficiary", or "the bank", but technically it is REO - which is a pretty vague term that refers to "real estate owned". 

@Jan Ferry-AxmanManagement of IRA or Solo 401k-owned properties by the IRA account holder or 401k participant is generally allowable as long as that management is administrative or decision-making in nature.

(to name a few):- RealBlocks (https://www.realblocks.com/), only for accredited investors, allows for secondary liquidity from P2P token exchanges for fractions of individual CRE properties- BuildingBits (https://buildingbits.com/), for both non-accredited and accredited investors, $100 minimum investing in individual CRE properties- Jointer (https://www.jointer.io/), for both accredited and non-accredited investors, allows you to tokenize your property by creating a land-trust and allowing Jointer to purchase equity in your property in exchange for cash (financed by token holders/investors who are debt financing at an interest rate equal to a CRE index), while you continue to manage your property and split cash-flow and appreciation profits with Jointer.

But the mortgage holder gets notified and they will usually pay the taxes to protect their position. 

The lease option holder has substantial equity (65% ARV) in the property and is current on payments.

The bottom line reason is that as a land contract holder you are the owner of the property and responsible at the end of the day for any liabilities on that property.