I'll defer to the collective knowledge of the community on which is a better fit. 

I will no longer collect property management fees from him and I'll continue managing the property.

@Garrett RichardsonWith so much appreciation, I would have her fund a Trust with the house, include provisions in the Trust that includes the house in her gross estate so you get a step up in basis at death, you/spouse are beneficiaries, the trust collects rents and remits fiduciary accounting income to you.

First, she consistently would pay her rent late......Not a big deal we collected $50 late fee and she would always pay about a week later. 

Buy it in at LLC and collect your paycheck. 

That's not much time to turn a unit around, collect utility bills, or whatever else.

I avoid parts of my city where long term  depreciation is a risk.I would try and collect data about the neighborhood, though. 

For your smaller deals (less than 30 units) using a 10% vacancy/collection loss factor and a 55% expense ratio is a pretty good place to start the analysis (might be a little conservative from a V&C standpoint).

I use management companies so I don’t need to collect payment.  

Will no rental income be collected?