Some items can go either way depending on tax strategy to further complicate things.Thanks for laying this out, @Michael Plaks.

That’s all complicated by investment returns being active and the debt write-off being passive and how that effects your tax picture, etc.

If the free rent were considered a gift or was taxable that could be a complication.2.

There is no appellate or statutory authority that allows to you cut the timber after the tax deed date, but while judicial redemption rights might still be outstanding.

It gets more complicated if you then need to borrow even more money to do the renovation.  

Also for some large investment group, for example, pension funds, they have to be in the market all the time, so they have to invest to something that's very large where asset is being secured by real estate.It's just you can find the following condition :In good market you can find 80% GP group to be good Then in next bad market condition, you find those 50% out of 80% good GP becoming bad, so only 30% of the group is performing.In the next good cycle, from those original 80%,50% may rise to be good again.Those guys (GP/and such) are similar to us when we buy/sell rental property, it's just that their problem is way way more complicated than SF buyer.

In my county it's a one page form, takes about 2 minutes to fill out and they charge $15.However, limiting your liability is much more complicated than simply dumping a property in to an LLC.

 - Virtually all travel in the area requires boating, which makes even the simplest supply runs complicated - and expensive.  

There aren't any legal hoops to add to the amount owed in a non judicial foreclosure as their fees are set.

If you insist on an LLC, to complicate your life and waste time and money, why not wait until after the 1031 exchange is complete?