But you could and they pierce your LLC veil because you did not act in a prudent and businesslike manner by carrying appropriate insurance.

Brad Pierce

With such hands on management the corporate veil protection of an LLC could be easily pierced was part of the reasoning.

Any commingling between the 2 entities will pierce the veil and both entities can potentially be sued if anything goes wrong.You also have to be wary that creating more entities does create an extra burden with more paperwork, and extra costs.At the end of the day you need a balance between asset protection, cost and compliance. 

You are right that signing the loan doesnt create liability but all partners can be liable for the actions of other active partners and it isnt impossible to pierce the corporate veil and break the LLC.  

Looking to invest in 2,3, or 4 unit multi-family in the Tacoma/ Pierce county area of WA.

This seems to me that it wouldn't really add any asset protection though, since the loan is still in my name and I am sure that the veil can be pierced as a result.3.

There are probably some markets you can get higher rents but I’ve never really looked out of Pierce and Ware Counties so that’s all i know about since that’s the only place i intend to invest

Looks like you are doing a good recording keeping but make sure you dont pierce the corporate vile.The entity needs to maintain its own books.

Single member LLCs have not been as effective as we would have liked in keeping personal creditors out of the LLC’s assets and in some cases have allowed the LLC creditors to pierce the veil of limited liability and reach the assets of the owner.