I partner with a rockstar contractor and a top level investor friendly agent and if we buy right and nail our numbers, there is plenty to split at the end.  

@Kenneth Joseph PerfidoFrom my experience, you’re in a great position with your Newport property, strong cash flow, and a low 2.8% interest rate.

It may be more difficult to get financing and a good rate buying through an LLC. 

I currently own two properties - my primary home and a vacation home in Truckee we rent out on Airbnb. 

Quote from @Yaroslav Shtogun: Hello Community,I am seeking advice on the following real estate situation:I’m in the process of purchasing a double lot property (100x100 in an RS-50 zone) that includes a 1,200 sqft wood-frame house and a 640 sqft detached garage.

As an investor and a commercial real estate broker I would not expect a buyer  to spend a dime on due diligence unless the buyer/seller come to an agreement on a purchase contract.

There is no real reason to use illegals, there's just no real benefit to it and a lot of downside.

Also, the state of formation is likely where internal disputes would be brought among LLC members, so if you and a partner and/or spouse live in CA, you probably want to arbitrate in CA if the two of you had a disagreement.

Basically - I want a PM who keeps the property in good shape and occupied to get paid, and a PM who is either bad at maintaining properties and finding good tenants, or just really unlucky, to not get paid.- PM charges 8% of rent, which escalates to 10% if the property exceeds 95% occupancy with rent collection. - PM charges minimal fees.- PM is contractually obligated to perform annual maintenance/inspection to keep property in top shape. - PM provides a cash based accounting report every month, for every unit under management, that clearly labels all rent, all expenses, including management fees, and the net directly ties to the amount of money deposited into my bank account.- PM is a licensed handyman, or has them on staff, and takes care of most unit turn work at a reasonable rate. - PM has no breakup/termination fee- PM does not take project management fees, except on large or complicated CapEx projects exceeding $5,000. 

I don't have any specifics but as someone who is into tech, accounting/finance, and a consultant to grow businesses.