The Lead investor is the one finding the property, setting up management, raising money, managing repairs and upgrades, dealing with insurance, making distributions to investors and completing all the tax documents for the investors. 

I'm looking at putting money into it and recommending friends to put money into it so any advice is appreciated.

The other benefits, or lack of, have been covered by the previous posters.In all seriousness, I would not waste your time, money, and effort on an LLC just yet.

Aloha Julian, Just to add onto what everyone has said, 1-4 unit deals (residential) are typically underwritten differently from 5+ unit deals (commercial). 1-4 units are easier to close and you get more money for them because of how DSCR is calculated:- Residential (1-4 units) DSCR = Gross Rents/Mortgage Payment- Commercial (5+ units) DSCR = Net Operating Income/Mortgage PaymentIt's important to note that in both cases above, there are exceptions.

If you want 10% returns you might have to look in another market, but if you want to park some money in a solid property, as long as it generates enough to break even after all expenses, taxes, etc. to allow you to hold on to it for 5-10 years I'd bet it will do better in the long run than a 10% cash flow property in a lower end market. 

I’m gonna be frank, you will not quit your job buying rental properties, Brrr’s are incredibly hard to make work, for instance I bought a property at about 50% of arv which is crazy hard to find, I could probably pull all my money out but I’d stil be cash flow negative.

It is incredibly hard to make money bidding online.

However, if it needs that much work you are probably better off going with a hard money loan and then doing a rate & term refi once rehabbed.

Great investment getting ahead of the college housing expenses and putting the equivalent rent money to work..If the property is generating income it can be classified as a 'second home.'

You could have $1,000,000 between you and your dad but money is only one piece of REI.