It gives both sides some flexibility but it has its downsides as well.

Keep in mind, the downside to this if you are self-managing is having neighbors constantly bothering you about minor things and honey-do's that they want. 

Hey @Mario Morales - The biggest downside of tankless water heaters is their higher initial cost.

I obviously would not advise this as the downside could be devastating.

The down side I will say that you will find that this may be an ongoing project as you will constantly need to maintain communication and entice private SDIRA holder to continue to participate with your promissory-note-investment syndication, assuming your lead generation on mortgages to buy stay consistent. 

Market conditions change quickly, so having multiple plans is the best way to minimize your downside for each investment. 

I do not invest in these super-hot areas, but I think people are looking for downside protection there..I'd rather have a SF/Manhattan condo over a portfolio of cash-flow properties in the Midwest if the sh*t is about to hit the fan.. cash flow or not.

This is the only way you know what the "profit" of the LLC is.And sure, you're doing a little more work than just property management, but you're also getting 50% of the upside without any of the financial downside.

So, usually anything less than that becomes appealing.One downside I can think of, is a 4BR rental for MTR could be slightly more difficult to fill with traveling nurses, as you would want to fill all 4 rooms.

I love using RentRedi... the only down-side would be the reporting portion of it.