I like to look at upgrades as a function of how long they will take to pay off.

Both the LLC and LLP offer flexibility, and both can be taxed as a partnership.

I met with him today and his business partner to discuss possible partnership going forward...

What partnerships, LLCs I am a member of (and whether I am active or passive).4.

What kind of incorporation would you consider (in GA) - LLC w/ Partnership option or would you add Land Trust component?

I need to create a new LLC for flipping anyway due to partnership changes.I plan to have an LLC (between myself, my wife, and my real estate partner) to flip houses.

Most crowdfunding investments are set up as LLCs or LPs, which are viewed by the IRS as an investment in a partnership or corporation, not in direct real estate. 

While I move in to the commercial arena for equity I will still pursue wholesale, flip, and new construction opportunities in the markets I am in (Nashville, Birmingham, Memphis) thru partnerships and direct mail.

Is my payment of $500 per month to my parents from rental income of $600 per month a loan, partnership distribution, some other expense, or not an expense at all?

I am in a partnership with me providing the capital and my biz partner providing the management (he lives in WW).