Also, gifting real property generally would require an appraisal as well, which could increase costs, too.  

If you plan on eventually selling, central air would add a significant value increase, so you may consider if that's the case. 

Markets like Memphis, Oklahoma City, Tulsa, Little Rock, and Birmingham offer affordability, strong rental demand, and consistent returns.

Tell him it's time to do a remod and as a business you hope to market the place at a substantial increase.

You'll find fix n flips will have increased margins in the Cincinnati area.

In several markets I follow there has been a HUGE increase in taxes year over year for the past several years.

@Greg ReeseMost small investors will benefit by having the LLC created in the state where the property is located at.Creating an LLC in a state like Nevada, Delaware, Wyoming may be better for the big players if items such as charging orders, business friendly case law, anonymity are important to you.However, be mindful that setting up LLC's in those states will add to your costs as you may have increased annual fees for annual LLC fees + registered agent fees.

I own two properties there, but insurance costs have skyrocketed.Lately, securing home insurance has become increasingly challenging due to the high risk of hurricanes, flooding, and other factors.

@Mark Toweya couple things - from the seller's perspective, it means the seller doesn't have to wait the full 30 years to get the proceeds, and from the buyer's perspective, hopefully in that 5 years appreciation and maybe some updates have increased the value such that when you refinance you don't have to bring any additional cash.  

You may need to increase or decrease the expenses based on your situation.