@Jeff M. would love to hear what made you change direction and move away from investing in Lorain.

Hi guys, I have some questions about putting property into LLCs/protecting assets, any information is greatly appreciated: Question 1: my understanding is that an LLC needs to be actively conducting business in its registered state in order for the LLC protections to apply, otherwise a judge could potentially pierce the corporate veil.

Your GC will know how to apply for the correct permits.Avoiding the issues in the future is a function of respecting the permitting process in the first place.  

Do you have a potential DSCR scenario that you're looking to apply for? 

The risk of "piercing the veil" applies more to LLCs when personal and business finances are not properly separated, not necessarily to individual landlords renting a portion of their home.A more practical approach is ensuring you have a solid lease agreement, sufficient liability insurance (including an umbrella policy), and properly reporting rental income and deductions on your tax return (Schedule E).

Take that money from the stock market and directly invest it in a leveraged rental property.

All of my properties are currently owned directly by me. 

The auction price seems to assume that the proceeds will be applied to repay the first mortgage and the second mortgage.

I think it would be the right direction since we already decided to buy using a VA loan and live in SC. 

They are a commodity, and owners are competing directly against hotels in this space, so rents are ultra low.