Used carefully, they can be an excellent tool for investments. 

I have never heard of an insurance company refusing to cover an oil system.

I don’t care much for landlord headaches.

If he is the only one lending he will be auto 1st lien holder and yes attorney will take care of that.

Run your numbers carefully and triple check.

All of the language I read on the IRS website mentions that redemption requires the IRS to pay a purchaser at auction back their purchase price, but I can find no info on if the property is transferred to someone else before redemption.Any help GREATLY appreciated, as the current plan is to transfer to the LLC ASAP.I know the likelihood of an IRS redemption is very low, but I still want to plan for that possibility.House is located in Southern California, if that matters.

It only becomes more difficult to evict if you are in the middle of an eviction proceeding and then you accept a partial payment.  

If my guys and gals I fund want to use them I don't care I just don't want to deal with them.PS I like the car business if I was not doing this I would own a dealership... and I would finance sub prime auto debt.. big money in that these days.a few of my fishing buddies own big stores like Toyata and Chevey stores they as you well know make bank.. 

Sounds like you're way ahead of the game with your job skills - I wish I had half of those abilities to take care of our rental properties!

Also "no lease" because you are in a month-to-month period of an existing lease and "no lease" because you don't have an instrument to take to court to evict someone are two totally different situations.