Once the transaction is done, I transfer my property to an LLC (on its own) and sleep good at night that any liability that happens will remain within that LLC.

It just all depends on what you want, if you perfer a tenant in your back yard paying you 3500$ and that helps you sleep better at night then go that route.If want a small multi family about 30-45 mins away from your home that has 2-4 tenants in there thats also a good way to go also. 

I like to think of myself as more of an investor than an agent and I like to treat my clients the same way I run my own numbers (which is extremely conservative, I like to sleep at night).

But I did sleep a lot at Holiday Inn Express studying this dilemma.

I was not willing to have multiple people sleeping in 3rd floor bedrooms without fire escapes and risk the hazard of them getting trapped inside.

Some of my larger homes are experiencing more guests than we can sleep. 

Seconds have worse rates than primary loan, but sleep well knowing the rate is fixed.  

After purchasing my first house, I had trouble sleeping due to being a new property owner. 

Another principle isthat you can train your brain to work for you while you sleep.

But I have found they are excellent guests who hardly use the property because they're either working or sleeping so there's very little wear and tear.