Do you require the tenants to have renters insurance AND do you make sure the renters policy does not have a dog bite / dog breed exclusion?

This means that to benefit from the separation between my personal assets and the company’s assets, I need to establish the LLC in New York State.However, I’ve found that the start-up costs and procedures for opening an LLC in New York State are significantly higher and more complex compared to other states (such as the requirement to advertise in several newspapers for an extended period).

First I would see if they would qualify for a 121 exclusion.

Even if you use the installment method to defer some of the gain, the exclusion of gain under Section 121 remains available.As for your seller financing question, zero percent seller financing is fine.

I like the exclusivity of it and feel I get better deals than those offered by real estate agents.  

The double edged value in these memberships is the networking, validations,  sharing of what works, what doesn't, the 'inner circle' deals and hanging out with like minded folks and work with same group, so it's a bit exclusive. 

If so you could qualify for the 121 exclusion and take the first $250,000 and $500,000 (If Married) of profit tax free, and put it into your next investment property.

And the time it was your primary residence (tax free up to the $500K exclusion).   

However, it adds complexity with more paperwork and potential self-employment taxes on all the income.Doing it as an individual is simpler, with everything going on your personal tax return, and you might benefit from the home sale exclusion if you end up living in the property for a few years.

We're dealing with a potential character change of the income or exclusion all-together.