@Laura JacksonI live in New York City where the cost of just being here makes things expensive so I understand your pain.

It was a pain in the rear, I got ripped off, my wall guy had a heart attack, and sometimes I had to redo people’s work anyway.

Each property does not have to be in a separate LLC; that is up to you, and is based on your risk tolerance vs the pain of having separate bank accounts, meeting minutes, etc. for each LLC. 

these sellers are already stressed enough than to add more pain to their day.  

I can speak from experience, it's can be a pain being in the military and managing from afar.

Focus on the ratios.if you gave someone my business card with your name on the back- $400.If you gave me their name, address, ph#, pain point? 

The most painful lesson was that life isn't always fair.

There will always be a few uncouth ones to deal with...If that happens...its a painful hit that will be difficult to avoid...cross that bridge when we get there?

Option 2 can get super expensive super quick and you essentially bought an investment that declines in value over time, especially depending on price point, not to mention if you want to properly record it it will be a pain in the butt and the lender likely would have issues with that type of arrangement.

THe painful part is sorting through the garbage.