Also, make sure your property is in a LLC and not personally owned for any potential lawsuits.

You will be pulled into the lawsuit between the lender and the borrower.

TyThe “co ownership” has all the makings of a lawsuit.  

@Daniel WongYes, a realtor can get in trouble discussing crime in an area and innocent sounding questions "is this a bad neighborhood" even as a discussion could lead to a lawsuit.  

It can help safeguard your personal assets in the event of a lawsuit or liability claim that exceeds the coverage limits of your primary insurance policies.Tenant Acceptance Policy: Implementing a thorough tenant acceptance policy is crucial for selecting reliable tenants who are likely to pay rent on time, maintain the property, and adhere to lease terms.

Anyway, thank you Account Closed for the info on the legality of it & the potential law suits.

3/15/24Home sellers would no longer be forced to pay up to 6 percent commission to agents under a settlement that experts say will drive down prices.American homeowners could see a significant drop in the cost of selling their homes after a real estate trade group agreed to a landmark deal that will eliminate a bedrock of the industry, the 6 percent sales commission.The National Association of Realtors, a powerful organization that has set the guidelines for home sales for decades, has agreed to settle a series of lawsuits by paying $418 million in damages and by eliminating its rules on commissions.

what's the best way to protect from injury lawsuits or frivolous tenant cases?  

I would rather use the space as an office for myself, but I also don't want to get into any lawsuits, since LA laws generally favor the tenant.

The claim in these lawsuits has been that agents are steering buyers away from properties that are offering lower commissions.