Its' technically legal from what I've been told (check with a lawyer in your state), but there is a pretty precise science involved to make sure you do it all legally and avoid a due-on-sale-clause from the lender which, albeit unlikely, is happening especially in times like now wherein the interest rate difference between current rates and the loan you might be taking over can be significant. 

@Gustavo Delgado- thanks ...if you dont  know precisely all the details on the HOA increase - make sure you dig  deep to understand all the reasons. 

Precisely.

This is the precise thinking that I think if tagged in with your approach can lead to quicker identification of markets of interest- leading to a resulting deep dive on what the market may do in that area.

Make sure you have an Operating Agreementc) Make sure you maintain everything precisely to the Operating Agreementc) Make sure your attorney will defend your LLC in courtd) Make sure you thoroughly understand what you are doing and what it protects and what it doesn't protect e) Make sure you understand how to direct your attorney in a lawsuit in the event you need all of that faulty LLC armorf) You AND your LLC will be named in the lawsuit to see if you followed the above.Why not get an umbrella insurance policy and get the same protection for far less hassle.

A year later, that is now unheard of for any half-decent area. precisely, so it's not an affordability question.

Precisely the same can be said of this bubbly real estate environment.  

Itś a sellers market and if the experienced developer was able to pull it in with the right amount of precision, the holding cost may not be that big of a factor.

This also happened in syndication investment, notes,etc,etc.....Think BP like a school but how do we process all these information into our own decision making, is precisely our own freedom.The OP question is really afraid of this fact, the number of REI does not really matter, this is just business anyway and we can exploit the opportunity using majority thesis or create our own creativity business skillset.

and when I asked for more info, this is precisely the response I got: "Our chargeback team was initially able to defend the transaction successfully however, the traveler filed a second chargeback.