They are underinsured believing that a n llc is some magic shield.If you go the llc route then sit down with the proper professionals and understand exactly what you need to do to make it a viable llc -the ongoing work it entails-and not one of the majority of slap-dashed llc’s that do nothing but give people a false sense of security and accomplishment.I do not have my buildings in an LLC.

It feels absolutely empowering to know that there are sooooo many like-minded individuals looking to secure their financial future in the art of real estate investing. 

I’m in the Peoria area also and have an identical background to yours, except I was with Palm Springs PD in California then moved out here to get into corporate security with CAT.

Also, whatever route you take, keep in mind: if your investors are completely passive you're offering a security and need to work with a securities attorney.Best!

Do you charge a security deposit, where do you store the funds?

We were expecting to use the security deposit to help cover some of the costs but the property manager never collected one even though the lease required it.

Useful in that we can discuss here what is and what is not going on.The health warning at the bottom of the first page contains the following.THE COMPANY IS “TESTING THE WATERS” UNDER REGULATION A UNDER THE SECURITIES ACT OF 1933 FOR OFFERINGS OF OUR BITS THAT HAVE NOT YET BEEN QUALIFIED BY THE SECURITIES AND EXCHANGE COMMISSION (SEC) RELATED TO CERTAIN PROPERTIES.

What is the security and guarantees?

You will have to do an LP unless they qualify under the securities laws.

For future deals, only pay security deposit, inspection, appraisal, and engineer cost up front.