I would be terrified as well when some loose cannon big mouth arrogant egotistic dude has no damper. 

People date for years and then all hell breaks loose when they get married and move in together.

If I am literally legal bound in fealty to my seller, well, what do you expect, I'm going for blood, ALL the blood, every last drop of it....

Like a trust.LLCs do not open some magical door to more tax deductions.I tend to recommend LLCs where the properties are located, but then those LLCs are owned by a Wyoming multi-member LLC.But if you think that you can skip fixing that loose railing and hide behind an LLC when the tenant is injured, you'll regret it.

As new vacation rental owners I think our biggest concerns are liability and the potential of loosing everything to a hurricane.

A loosely affiliated group of nomadic sailors would list their staterooms on AirBNB.  

Investors see headlines in the WSJ or Bloomberg talking about syndications loosing money and investors having significant parts of their retirements wiped out and more news that most of the short term debts mentioned above are expiring end of this year and early next, making it seem like the worst has not yet come.3.

Do you know of any situations where property taxes are increased exorbitantly to shake loose undeveloped property?  

Would it make more sense to live in old side and work on it while living there and still make rent on other side while losing out on being able to claim expenses as tax deductible or live in updated side and loose out on rent for about 4-6month(1300/month) but be able to claim all expenses as tax deductible.

The fact the taxpayer even has a w2 can cause an audit and one they tax payer will likely loose.