It’s for to be a very big negligent act which just by doing #1 and #2 reduces risk.

The ag land itself has a cash rent value that is likely negligible but the homes I build will all cashflow by over $1000 each if I can make this deal work.

While required reserves are negligible for most Fannie Mae and FHA loans, they can be substantial for jumbo loans, e.g. 12-month PITI, investment property loans, and for buyers with multiple properties.BUT, reserves are not just necessary to meet lending requirements.

.), then there's very likely no liability/negligence on your part. 

If I'm correct and there is no/negligible benefit, does anyone recommend having an additional umbrella just for the LLC?

While the thought of a penalty is terrifying to many, the actual costs is negligible in most cases. 

Come to find out due to my negligence my house was sold last via Sherriff.

(maintenance & damage outside of negligence borne by you)What this does is opens up your applicant pool, since those folks who are bringing their own W/D with them would not want to rent your place if you already have units installed and baked into their rent. 

This is a different scenario because the tenant directly caused damage to your property via negligence rather than an incidental broken water pipe (not caused by the tenant).

When keeping or kenneling an animal, we won't be liable for loss, harm, sickness, or death of the animal unless due to our negligence.