Which ought to be concern #1 for anyone approaching semi-speculative deals like this.It's not a situation to be early if you can't sustain the bleeding.The scenario mentioned above is buying at retail, which an investor absolutely should not do in any market and any scenario IMO, no matter what the day 1 cash flow is ... both options look better if you buy at discount to retail price and force appreciation/value add.

You may consider terminating the lease depending on how much time remains, your skills, the legal system, and other factors.Based on what you've said, I am concerned there's someone else occupying the home or something else is going on.

I do find it humorous though that thinks the recent bought of high inflation was caused by the current administration. 

I would recommend getting the tenant to admit that they had done something to cause the problem.

I see the concern though...

If you are truly concerned with liability, these should be your main concerns and focus, not whether to create your LLC in Wyoming or elsewhere. 

I am concerned that it is a ponsi scheme.  

If it is a normal occurrence I would be concerned, connect with local boots on the ground before doing anything out of emotion. 

If the concern is max cash out, you can cross collateralize the properties to cut down on costly processing fees.  

Here's what I've learned:Inspections Are Non-Negotiable: Always get a full inspection, but don’t stop there.Plumbing & Sewer: Have the plumbing and sewer systems checked specifically, as these are common problem areas in older homes.Electrical System: If the inspector flags any electrical concerns, bring in an electrician during the inspection phase for a detailed evaluation.