I've seen many bidders buy the 2nd and 3rd positions on a property and lose every penny.I also sold properties where I foreclosed on my buyer and I remember there was protections in place where I could not sell the property to someone without notifying the auction.

This would include architectural fees, new equipment, cost of protecting or defending your title to the property, or building improvements.

Now, we want to run the rental portion as a business, but we understand that with the house in our names, there’s not a great way to protect our assets without quitclaiming the deed to an LLC, which we cannot do because of the due on sale clause in our mortgage. 

I recommend reading this article by Marty Boardman: https://www.biggerpockets.com/...Secondly, an LLC isn't really necessary for wholesaling unless if you have assets that require protection.

What checks I need to do to protect the investment?

Asset protection in a snap. 

I've worked in the multifamily industry now for over 6 years between two of the largest players in the commercial world (CBRE & JLL).

Looking to expand my portfolio to other states and am looking for ideas on good corporate structures that can provide protection and allow me to add additional real estate into it. 

How do you protect your clients from making the same mistakes? 

We have a 14-page management contract that we've added our real experiences to over the years, with the intent of protecting both us AND the landlord.