@Franklyn Gutierrez This comes down to your desire for separation of your personal assets and that of your “business”.I’m for forming the LLC and purchasing the property under said LLC.

Remember, it's your money and assets. 

But it's best to look at each asset on a case by case basis!

No matter the value of the asset, if the owner has assets and the ability to afford the payments, getting an approval is slim. 

If you do that, your credit will tank and all of your credit cards will balloon their interest rates and you will be truly and irredeemably screwed.Step 2: Look at any and all of your assets and use them to pay off debt.  401K?

With an inherited IRA, you need to ensure the cash flow your real estate investment produces will meet your need for taking required distributions.Real estate can actually be a very good investment for an inherited IRA, as the principal is secured by a less volatile real asset that produces consistent income. 

Not really matter, but to protect your assets and lower taxation better to open LLC in state where property located.

Look at the situation in terms of cash flow and asset protection.

If this is too much hassles, do you have any no performing capital loss asset that can offset the gain ? 

The tax collector will obtain the taxes plus interest from the former owner before that happens, and remit that sum of money to you.