I cannot stress the importance of finding a very good Investor Friendly CPA.When holding properties as a cash flow investor, the LLC (or LP) is generally the better choice because an LLC has more liberal distribution rules.

Unless your in a ultra liberal state

Where you will get burned by investments is being too liberal with your underwriting or anticipating huge appreciation or CF year over year. 

I think the liberal governments in Washington and Oregon believe it's evil for anyone to make a profit.

My advice, buy them off now with cash for keys before it turns into 9 months of legal fighting and delays resulting in foreclosure for you.California hates landlords and the courts do their best to delay evictions as much as possible.One by one you will be accused of being a slumlord,racist,sexist,homophobic,and just plain criminal and the liberal judges will eat it up even though they can't prove anything.Every charge against you will result in 60 days of free rent while waiting to get into a courtroom and argue your defense.This is why I will never own rental property in "Blue States"!!

The city of Oakland liberalized its ADU regulations in 2015, eliminating the extra parking spot for properties within a half a mile the intersection of two bus lines that each run every 15 minutes at peak hours.

Judges appointed by liberal politicians, as well as elected judges, tend to rule based on their personal feelings, not the rule of law. 

You're of course welcome to call your reps in support of these bills, but I encourage you to read more about the likely unintended consequences:https://www.startribune.com/to...This news piece is clearly written by someone of a liberal arts background, with zero or near to zero experience or knowledge in contract law or investment real estate. 

Ask any person liberated from German rule during WW2 if they wished for War, and they will say, "YES!"

Adding on to this, liberal zoning laws in King County (such as HB111) have created an environment of insane potential for the savvy investor.