Unfortunately, this reassessment is unavoidable, so you’ll need to evaluate whether transferring the property is worth the potential tax increase.If a Transfer Is Not Feasible:If the potential property tax increase makes the transfer impractical, an alternative option is for your father-in-law to secure a Home Equity Line of Credit (HELOC) on the property.

My current line of thinking: Is it possible to just "transfer" the properties to LLCs owned by the individual investors and not consider it a sale? 

Scroll down to page 6, Schedule L, Balance Sheet per Books.https://www.irs.gov/pub/irs-pdf/f1065.pdfLook at Lines 7a and 19a.

Small shop brokers that have access to multiple programs so that they aren't beholden to one or just a few loan programs will typically get the most competitive product for the borrower. 

Set aside a big pile of cash or rely on a line of credit you won't be using.The oversimplified insurance concept is to pay a small premium to cover a large loss.

------------------------------------------------------------------------Here's our current guess: "The builder's plans and the build may not line up perfectly, so the buyer could sue for breach of contract or a similar claim."

I live pretty central in Houston, on the train line and my home have a full renovated Garage apartment that has been listed on the popular platforms. 

And what is your price point and are you looking for turn-key properties or something along the lines of a "fixer upper"?

@Tiamo Wright is getting g this over the finish line. 

Are you looking for turn-key properties or something along the lines of a "fixer upper"?