TIC is just a way to hold fractional ownership in a property while HOAs are created to formalize and organize fractional ownership.

It's smart to have a formal lease agreement with your friends to keep everything clear and professional.

@Grant Baker Make sure that you have a formal partnership agreement to avoid any misunderstandings.

There typically isn't a need to sign new leases or do any formal transfers.

But I haven’t identified the properties yet, which lenders usually want to see through a formal application. 

This step involves sending formal information requests and setting up meetings or calls to discuss the sponsor's capabilities.

Price: $1.2MOffer: $900kI had my agent call to see if the seller would accept this price because it's been on the market for a year.The seller's agent said the owner had rejected a $1M offer in the past, but it's been awhile so maybe and asked for a formal offer with proof of funds and pre-approval.Why?

Home equity loans may not be obtained on land that is taxed as “open space” or as agricultural land.The loan may not close until twelve (12) days after the borrower has applied for the loan and has received a formal notice of the borrower’s legal rights.Not less than one day before the closing, the borrower must be given a final itemized disclosure of the actual charges associated with the loan, including actual points, fees, costs and interest.

Based on what I have heard/read thus far, it seems like I don't need a formal legal structure such as LLC for running this is as an active business (but I may set up an LLC for asset protection, which is allowed by my mortgage lender).

Also, it’s interesting to note that not maintaining corporate “formalities” is one indication of “disregard”.