You may also want title insurance to protect you from claims and faults prior to your parents purchase. 

My wife and I currently own a 2-family home with a short term rental which generates quite a bit of cash flow month-to-month, and it is getting to the point where we need to separate our personal finances from the rental's, and, we also want to protect our personal assets from liability and take advantage of any tax benefits.

Simmons, owner of KCS, PC, and certified public accountant for over 25 years, is known for telling it like it is while also educating those who seek to grow and improve their businesses.

biggest unseen expenses I can anticipate might be floor joists, electrical, plumbing (it's got public sewer and water), and perhaps just general full cosmetic replacement if the tenant moves out.

And stepping outside that box is a risky thing these days.So you'll need to watch out for that as well as the extra level of protections necessary to secure the property for you and either provide a profit incentive to the unrelated party or protect them from a taxable event.

The RE commission frowns heavily on anything that fails to protect the public.

They have three kids in high ranking public school half a block away.  

ADA covers public spaces, not a private residence.

So you are protected.

This wont work in the west coast (until they catch up with times and go online not only for the auctions but for their public record keeping)2.