In this case, it would depend on how the operating agreement was written, or the preferred method of the managing member.In either situation, as long as the LLC is registered and in good standing in your state, and has legal title to the real estate, then you will have the protection from liability normally provided by corporations.

You will receive a monthly return regardless of the property's performance.The risk here is non-performance by the property owner, but you can have the title company or closing attorney hold a quit claim or warranty to be recorded upon default.When buying and holding, I prefer to have money partners to use a debt financing arrangement if they want nothing to do with the property.

exactly why I 'prefer' one and 2 bedroom rentals.

It's based on too many assumptions that may or may not be true, and can lead to both overpaying on a property (to the point of not being able to generate a profit) or under-bidding on a property (to the point of not being competitive and not getting any deals).I much prefer to use analysis techniques that take into account the actual cost of capital for the individual investor (are you using your own cash, borrowing hard money or something in-between), the actual cost of commissions and closing in a given demographic (sometimes the seller will pay buyer closing costs, sometimes not), the actual time you expect a rehab to take (a six month project has vastly different holding costs than a two month project), and the risk on the project (is 15% return enough or do you want 20-25% returns on more risky/costly projects), etc.70% rule is lazy (IMO) and while it's fine for a first-pass analysis, if you use it to make buying decisions, you may find it impeding your success.

I made sure my buyers contract included a way out if I did not agree to the HOA, since I could not review this information until I placed a contract on the condo.As I stated previously, I prefer HOA's on my out of state properties.

Those preferred lenders want first crack at making the loan.

I would think a lot of brokers would be clamoring over you.Perhaps my perspective is skewed living in a place where new agents get about 50 mailings and emails per week from brokerages that are looking to recruit...I guess stronger markets are different.Have you spoken with smaller agencies who have more of a niche...for example, those that specialize in new construction or investors?

Then, I find that other questions I am interested in asking I prefer to hear the answer in person so I can evaluate their body langauge.

I prefer Roth IRAs by far.

In southern Utah I'm trying a completely different method of attack which is building brand-new homes to a niche group of owner users.