The "second" would be held by the investor (me in this case).

Key takeaways from the Southeast Build-To-Rent Summit today held by Bisnow1) Peter Michaels - BTR Rental Premiums Compared to Garden-Style Multifamily:- Townhome BTR: 10% rental premium- Single-Family Attached: 15% rental premium- Single-Family Detached: 30% rental premium 2) Kimberly Byrum - Average age for first time homebuyers today is 35.

If you are going to be held responsible for the bill, I would first try to get on a payment plan with the company to pay off that balance.

I haven't really given it much thought as to why that might be but it's held pretty true for me in my area. 

It can be extremely stressful especially while your down payment is held in escrow and you're only receiving 2nd hand updates.Do you know under which circumstances you'd be able to back out of the deal and retain your deposit?

To me, I don't see why anyone wouldn't do cost segregation even if it ends up being held as a carry forward loss. 

You can find guidelines for determining material participation, the rules for determining who's a real estate professional and what's active participation, and the special rules that apply to the income and losses from a passive activity held through a publicly traded partnership (PTP) in Publication 925,"Basically, rental is generally passive unless you are a real estate professional, HOWEVER, refer to pub 925 for special rules.  

This means that if anything goes wrong with the property—like a tenant getting injured or a lawsuit related to the rental activities—the LLC, not you personally, would be the one held responsible.

As noted, any commercial sized assets are already held in an LLC, which it typically the borrowing entity, which is owned by an LLC where the LPs come in.  

But they were in solid areas and the investors held on and are now benefiting greatly!