If the two of you were simply individuals owning the property as tenants in common and neither of you owned more than 50% of the entity then you could make the case that it was not a related party transaction.My fear is that if audited the exchange would fail due to the closeness of the related transaction. 

He also did an 8 plex with it stacking them and that project failed and lost money.

Failing to comply with these requirements could result in penalties or even the cancellation of your mortgageAre you planning to refinance?

The more the better as it decreases the risk  that the project will fail due to a lack of funding.

You dont get your advice from people who failed at it.

That should be common sense, and seems like some people who failed (of no fault but your own) want to take it out on the only external excuse they can target.Anyway, right after his 3 day training, I hit the ground running.

Upon investigation, it has become evident with email and messages, that the previous owner was aware of this assessment but failed to disclose this information during the transaction.

If they fail to file things on time they are often punished by their state BAR association if it is proven. 

.) -- failing to hire a property manager in an effort to save some $$$ when you're not local AND you're not intimately familiar with the market is almost always a penny-wise, pound-foolish move.

As I have heard that a “failed security system” could potentially lead to liability for tenants property.