Quote from @Janet Chan gomez: That first year after buying the property, if you are "truly cash flowing" I would place that aside for any capEx that arise.

By that I mean issues arise that may not necessarily be your fault and when they do and a claim arises, the LLC not you personally will be listed as the defendant (unless you are dealing with a scummy attorney which is extremely rare regardless of what those using scare tactics to sell expensive asset protection systems may tell you).

Issues arise when borrowers feel blindsided with items or delays.

Let’s see what challenges arise to this legislation and what the arguments are based upon.The commerce clause concerns interstate commerce so that’s not relevant to this state law.

@Drew Sygit In my previous post, I noted that the PMC is also the wholesaler from whom I purchased the property.I feel like I’ve been managing the property on my own until problems arise.

Then whenever a good opportunity arises, you can simply write a check out of your credit line and purchase in cash.

Might it be possible they are concerned that if you override their decision on an applicant while they are liable under the fair housing act, litigation would fall on them solely if an issue arises?

As far as the unforseen problems that always arise , you just deal with them as they come up . 

The market rate for a full-service STR co-hosting company is 25% gross after cleaning fees.On average the following would be included... 24/7 guest communication, vender oversight, weekly updates on the OTA listings, make sure maintenance and deep cleanings get done...but owner pays the expense, stain removal on linens, marketing the property, keep supplies stocked...again owner pays the expense, keep property guidebooks updated (digital copy and hard copy), security (locks, cameras etc.) oversight, bi-weekly pricing software management, walk the property regularly, provide monthly reports, and obviously any guest problems that arise time to time.

If a legal issue arises with Property 1, only that property’s assets would be at risk, protecting the equity in Property 2 and any other properties you may own.Asset Isolation: Isolating each property in its own LLC helps protect your assets from creditors or lawsuits targeting a specific property, thereby providing a more robust legal shield.Financial Management and Bookkeeping:Regarding your concern about financial management and the practicality of handling multiple LLCs:Centralized Banking: Using a holding company’s business account and credit card can simplify your bookkeeping.