If I rent it I would want it in a Delaware single member LLC for liability protection.  

It says there are a series of forms needed, including 1040, Schedule C (which I read doesn't need to be completed if all figures are zero, so I won't be attaching one), Schedule D, E, Form 4562 on Depreciation and Amortization, etc.  

Beleza!!

I live in Delaware and the fees for LLC per year is $300.

We own four properties in South Carolina through Delaware LLCs.  

Point of fact, presently there are only 15 states in the nation that are Series LLC States: Delaware, D.C., Illinois, Iowa, Kansas, Minnesota, Missouri, Montana, Nevada, North Dakota, Oklahoma, Tennessee, Texas, Utah and Wisconsin. 

This is the world of Delaware Statutory Trusts.

My wife and I just sold my single-family home, we're in the process of purchasing a 4 unit property, and rent 3 units while living in one.We are planning on transferring the new "to-be" property into a CA land trust owned by us to start off, then possibly transferring it to a WY/DE entity.

The deal is a short sale, in a seemingly nice neighborhood, exactly one mile from The University of Delaware.

A large umbrella policy would be taken out for extra coverage prior to purchasing the first building.Interested to obtain thoughts on whether a parent LLC or Delaware Series LLC would be beneficial, or whether my thinking above on one LLC for residential flips and one for commercial will provide adequate coverage.Thanks in advance for your thoughtsMichael