In many states, single member LLCs do not provide this kind of protection.If you are the only member of the LLC the court can and often does seize assets from the LLC to enforce a judgment.The best way to protect yourself from personal liability is...1) Don't screw people2) Maintain liability insurance - an umbrella policy is very cheap.YMMV of course.

And they take marketing to get the right kind of Tenant Buyer: Attitude toward Home Ownership strong; low Debt to Earnings Ratio; willing to work on credit and increase income (2nd job, etc); paying for minor maintenance.

I have found that I could delegate a lot of aspects of tenanted, performing properties but the rehab side of my business, I have to be on site and cracking the whip.

There are always the issues of tenants trying to use it as a last month's payment as indicated by Wheatie above.

You can not control behavior of Tenant Buyers.

While I often disagree with MikeOh, his advice/analysis on this deal is close.When it comes to commercial multi-family units, it is very difficult to operate below the 50% OE.One thing that jumps out at me aside from the obvious "proforma" gross rents is the very low insurance rate.

Considering there has been this episode of seepage, are future episodes more likely to happen more often?

Most tend to be six to twelve months but, some are less.This has been my approach to seasoning with houses that I have rehabbed and tried to sell...First, I work closely with "investment mortgage brokers" because, they tend to have better relationships with lenders that don't have strict seasoning standards and often times they work with smaller lenders or private lending groups that don't require seasoning at all.There is usually a catch though.

We are electrical contractors so there is little difference, but there are some areas I can give examples:Homeowners want a Square D QO panel which is rated the absolute best for safety (and has been for years), rentals want Homeline or low end equivalent.Fixtures can make a huge differece - $4.97 Home Depot special for rentals, selection process for Homeowners (HOs) to pick the perfect fixture as per their individual tastes.HOs may want Decora style switches or receptacles (sometimes in screwless plates or specialty colors), REIs want economical, standard in white or tan (stock).REIs often have very little hand-holding.

I often get 10 of these mailings a week, and they go straight to the recycling bin, no matter how persuasive the marketing.