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.

I didn't want to pay penalties or excess taxes so I took a loan out against my 401K. 

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.

They were told that since they will be purchasing a fifth property with a Jumbo loan (with total value of loans in excess of $4 million) they would need 120 months of reserves for all of the loans put together (about $1 million in reserves). 

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

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

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.

Most older homes in SC are ventilated and breathe fairly well, so mold in the living space/attic typically isnt an issue unless there is a water leak where there is constant, excessive moisture.

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