Boone Pickens got involved and offers were made on the remaining portfolio. 

Well, those properties will statistically attract corresponding Class B & C tenants.So, how should an investor account for Tenant Payment Performance/ DEFAULT in their analysis? 

But the more property you buy the higher the likelihood of being involved in a situation where asset protection above basic liability insurance can SAVE YOUR A_ _ !

As Account Closed mentioned, the first question is to decide if you want to invest actively or passively. 

Statement:I'm 1 of dozens of partners involved in a transaction at any given time.

There’s a good chance that if lender finds out of property transfer via title records, insurance policy beneficiary, bank account submitting mortgage payments, they’ll assume that John  Smith formed a trust to own title and will not flag the  file for any action.  

However, we typically use the FHA-203k loan because it involves a renovation, which I highly recommend if you are looking to really boost your equity and have the cost of the renovation wrapped into your loan with a VERY LOW AMOUNT OUT OF POCKET.I like the FHA loan, but honestly, the Fannie May Home Style is an even better product at this point because you just have to bring a bit more cash to the table 5% vs. 3.5% (w/ FHA), but you have a bit more flexibility.  

They should have a process for this that will likely involve probate.

Its interest income - unless you wanted to run it through a C corp but then you pay corp tax first.Other option is to use a deferred retirement account. 

@Jonathan CooperIf your current accountant is not familiar short term rentals and/or cost segregations, it's time to get a new accountant.