But right now "junk fees" are popular in the national conversation.

I am within the rules of the Florida statute regarding security cameras and not recording conversations. 

From what I took away from my conversation with her, without the LLC, I can not write-off any expenses related to the house.

I think a conversation about long-term goals is in order!

I think that's exactly what I would want to do, but I'm clueless as to how much such a bedroom conversion project would cost.

If you have emails, text or written conversation that is better..

I had a conversation recently about debt in America and what came to light was how will the American people respond having a little more cash in their pocket.  

Happy to have a conversation as I have extensive experience working with non-US citizens.

By making sure that (1) the investors are aware of this before investing (and not just by putting this on page 32 of the PPM, but by conversation and email trail), (2) that the investors have a certain minimum net worth and or income (and not just by SELF certification), and (3) that the investors don’t put all their eggs (investment $) in one basket(loan participation) we avoid all the drama when the inevitable one out of ten or twenty investmemt doesn’t work out as planned.  

Otherwise, having a conversation with them on how to handle things like this moving forward would be productive in seeing how they respond.