While a member-managed LLC might be feasible with 3-4 members that know each other very well and have identical objectives; when larger groups are involved, it rarely happens.

There have been reported theft every now and than. 

Now purchasing an identical duplex 1 block away for $278k.

Assignment of leases--Our closer assured us that if any of the tenants decided not to pay rent on the grounds that we are not the ones who entered the lease originally, that they would lose due to the fact that the property was obviously sold to us, but we are in the process now of having the tenants sign new leases which are identical to the ones they signed with former owner.

The consequences of making a bad decision are enormous and the financial impact can follow you forever.Homes are not like garden rakes, where one is pretty much identical to another. 

It is literally identical to investing that money into a 5% fixed-return investment.

They say they only remove it when it is a case of identity fraud.

And to my point in above posts, if your odds are nearly identical, why not just play roulette? 

I currently house hack a duplex in my area with an identical but separated duplex right beside me.

Anyone who has experience managing people knows you always try to address the situation before firing (unless there is theft or some other serious negligence).