I agree with holding the property for a few years & finding the best tenants you can after you make it gorgeous!

In my experience, bad layouts are easy enough to rent, but really hard to sell.If you're ok with holding it as an income property that you never sell for anything close to other properties of the same square footage, it's probably ok.

I'm not an attorney but my understanding is yes, you can definitely do that, and I believe things like that happen every day.While I can see some possibilities for why someone would want to set things up that way, I do have the instinctual thought that it might be over complicating things.Technically the second LLC is another layer of asset protection, and maybe you have a very specific entity structure setup for taxes which would make it beneficial to do it that way (an LLC inside an LLC), but it's worth asking the question of whether these is much difference, or much more protection, than just having you (presumably a Mass. resident) be the member of the RI partnership LLC straight-out rather than having your MA LLC be the member.Also, depending on what else you have going on in your MA LLC it may be a disadvantage to have it be a member of the RI LLC from an asset protection perspective - if someone were to be able to pierce the veil of the RI LLC then everything in your MA LLC would be at risk.If you do go with the MA LLC as a member of the RI LLC, when you go to sell the property you'll have non-resident withholding - but you'd have that if you personally were the member of the RI LLC as well.You'll also need to be careful how you sign anything relating to the RI LLC - you'd have to be careful not to sign as member of the RI LLC but as member of your MA LLC, member of the RI LLC.

@Steve O'Keefe, I think there's nothing wrong with holding those properties.

Nolo seemed like a good start:https://www.nolo.com/legal-encyclopedia/pennsylvania-tenant-rights-withhold-rent-repair-deduct.htmlThere are useful links from that page, specifically:http://tenant.net/Other_Areas/Penn/harris/pa-part2.htmlIt appears that you have some options, but you must take steps - described in the link - to make sure that you are also within the law when taking them.

I have some learning that I need to do with holding multiple mortgages.

I would dive in to whether or not Nevada law withholds the identity of LLC members from public record.

This is my first time with hold-over tenants.

I hope that doesn’t trigger withholding on that outside income to Florida..Let me know your thoughts on this if you have experience with these types of transactions.I appreciate your time on reading my post...Lloyd

I have also seen agents withhold offers in order to buy the property for themselves, also illegal and unethical.