However, the neighborhood has had serious safety issues in the past.

During title search they discovered an old issue with title.

In Nevada there is a required sellers disclosure of any issues past or present with the house.

On the issue of whether it's a good idea  ...

take that an no great weather issues and some of the absolute lowest prop tax's no income tax and now a company that can deal with squatters the way they should be dealt with.. 

Bonus question: Is it best practice to offer at the asking price, even if you discover issues with the property?

I think this is a creative idea with a lot of potential, though also with some unique issues as mentioned above. 

Ultimately, if anyone is unable to obtain desired financing when their property is owned as an LLC, its the guarantor that's the issue and not the LLC and suspect the guarantor would have the same struggles regardless of whether the property is owned as an LLC or in their personal name.

Market volatility, problematic tenants, and unexpected maintenance issues can impact profitability.

During title search they discovered an old issue with title.