@Nina PenuelaOne of the things we have seen, specifically in Ohio and Indiana is local building authorities target out of street owners with ridiculous fines and make life miserable.Had one where the porch light was out and charged a $50 fine.Another one claimed grass was not cut because it rained for 1+ week and did a $400 fine.

Tenants use to threaten to sue me or complain to authorities regularly.  

I have read a lot of books published by bigger pockets and other authors on real estate investing.

Let's break down the pros and cons of each approach:Forming an LLC in the State Where the Property is Located:Pros:Compliance with Local Laws: Establishing an LLC in the state where the property is situated ensures compliance with local regulations and laws specific to that jurisdiction.Legal Clarity: It provides clear legal jurisdiction and may simplify any legal proceedings related to the property in that state.Perception: Operating with a local LLC may give tenants and local authorities confidence in your commitment to the community.Cons:Additional Costs: Setting up and maintaining an LLC in another state means incurring additional registration fees, taxes, and possibly hiring local legal counsel.Administrative Burden: Managing multiple LLCs across different states adds complexity to your administrative workload, including extra paperwork and compliance requirements.Tax Implications: You may face tax obligations in both the state where the property is located and your home state, potentially leading to double taxation or complexities in tax filings.Managing Through Home State LLC:Pros:Simplified Management: Handling all properties under a single LLC streamlines administrative tasks, reducing paperwork and simplifying tax filings.Cost Savings: Avoiding the need to establish multiple LLCs in different states saves on registration fees, legal expenses, and ongoing maintenance costs.Consistency: Uniformity in management practices and legal structures may contribute to efficiency and ease of operation across your real estate portfolio.Cons:Legal Exposure: Operating out-of-state properties under a home state LLC may expose your personal assets to the laws and liabilities of the other state, potentially diminishing the liability protection the LLC offers.Compliance Challenges: You'll need to ensure your home state LLC meets the legal requirements for conducting business in other states, which could involve additional filings and fees.Perception and Credibility: Some tenants or local stakeholders may prefer dealing with a landlord who has a local presence, which could impact your reputation or relationships in the community.Ultimately, the decision depends on your specific circumstances, risk tolerance, and long-term goals.

Just tried to hire one myself and they seem so afraid of housing authorities, they have minimal criteria and make no effort to screen.  

I will update this post when I get the final result on the deposit. thats interesting every time I have had an issue with an Actual auction and the authority wanted to cancel we got all out money back they never kept anything.I did have wells fargo sue on one though were the bank claimed priority over our position we bought at foreclosure sale.. we had to settle that and pay..

However, there also seems to be evidence from committee meetings supporting short-term rentals being authorized in historic neighborhoods like mine as long as guests adhere to a 7-night minimum stay.

How will appraisers, lenders and tax authorities account for this? 

What is the minimum interest rate we can charge for the seller financing without causing any red flag with the authorities?

To be fully city compliant  you must have an "authorized property" manager that lives in The City of Cleveland if you are out of state.