It becomes hard to prove to the IRS what is inventory and what isn't.If there is more than one shareholder of an LLC it is taxed as a partnership UNLESS you are in a community property state.You need to understand that an LLC DOES NOT EXIST as far as the IRS is concerned: http://www.biggerpockets.com/forums/12/topics/7605...You can flip in a C-corp or s-corp and then distribute the income or even loan from there.Personal Holding Company Tax (PHC Tax) is a 20% tax on a corporation that holds passive based income that GROSSES more than 60% of the income.C-corps have NO CAPITAL GAIN RATES.Here is a thread on Real Estate in a C-corp and trying to get it out: http://www.biggerpockets.com/forums/51/topics/1057...

My biggest concern was not wanting to be stuck in a single place, so I started looking into the possibility of renting the condo out once we moved, and after talking it over with my wife, we decided to put an offer in and get a place before we get gentrified out of our neighborhood and then keep it when we move and start building our own wealth.As it stands right now, I'm not an investor (yet) while we wait for the bank's reply on our SS offer, but one way or another we're doing this to eventually get out of our day jobs.

I am less concerned with "making" money on this property and more concerned with not losing money if that makes sense.

My question for everyone:IF you loved the information in those forms and felt that they covered your land lording concerns, would you be adamant  on using those forms and pay for a lawyer to review and make sure they are legal per state guidelines?

I am purchasing the property for cash, so I am not concerned about my end. 

Might not a seller be concerned with a title company called Investors First?

Remember in Real Estate "Everything" is negotiable.My quick concerns are these. $50K for a rehab on a $1.2 million home? 

I don't concern myself with the late fees at that time, they can be collected at a later date or the end within the security deposit.  

Be honest with him/her in that you're concerned that you have underestimated the repairs of the property.    

If you would like to reach out and discuss your concerns or interests and goals, please don't hesitate to reach out.