Quote from @Adolfo Herrera: I recently bought a piece of land(cash) in my hometown in Texas and I am looking to start building a home to sell.The lot sits in a new neighborhood and is in the more affordable side of the Rio Grande Valley.

I’m currently working on obtaining my real estate license in Texas, with a focus on property management.

My question tho is I have 2 paid off rental properties that are worth about 75k each that bring in 1k and 750 a month.

Many reasons, a lot of them could be not knowing, unfamiliarity factor, maybe overestimating the cost in terms of effort and money, or simply just being lazy.

The challenges in real estate teach you invaluable lessons that you might not gain otherwise.I also invest in Chicago, so I have a few thoughts in response to the questions you raised.

I have no interest in managing the manager. 

:)General question here: I invest in long term rentals in Memphis, but I live out-of-state in NYC, so I was wondering if anyone had any general advice about starting an LLC in my situation.Would you form the LLC in Tennessee or would you recommend forming the LLC elsewhere?

It’s tough if you’re flipping in under 12 months.

In the end you always end up paying somewhere between 8-12% on your money. 

With time hopefully the numbers will be even more in your favor with appreciation of the property and you will have cash flow to continue to invest, also it is building equity in your portfolio that you may want to tap for opportunities in the future.