My wife and I are realtors and I consider that a pretty simple career to fuel my investments that also gives me a sense of time freedom so we can spend as much time with our kids.  

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@Julie McCoy Def makes sense for managers to charge more for str’s but 50 % just seems excessive to me ...

I am ok with it as long as I can definitely get my parcel back without excessive cost or complication.

California charges a minimum tax of $800 a year per LLC, and more if you have gross receipts in excess of $250k.

A family of four in a two-bed unit isn't too many, but the excess furnishings may be a sign of trouble.

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Typically, when I'm counseling with an out of state client that is living in a higher cost of living area - the client is usually better off to house hack in an expensive market rather than buying RE in a lower cost of living area unless there is a lot of excess capital to work with.If you have any questions - feel free to reach out as I am happy to chat.

So, by your logic this landlord should be aiming at an approach that can lead to excess vacancy/turnover which is costly.

So with my excessive answer I would leave you with this: you get more protection from multiple LLCs (when established and operated correctly) holding the different assets, but it also costs more.