That's just a simple example.Even if you buy turn-key or new construction - who knows...repairs might be needed due to accidents, not necessarily age of property.

The investment never occurred and could in the future but it isn't looking good.  

I don't recall hearing that occurring in our circles.

-Check out http://www.evicttv.com/categor...To protect your interests once an incident occurs and/or you do get sued:-LLCs and other entities can limit your exposure, but aren't always feasible (for example, when using conventional financing properties may need to be titled in your own name).

Coming into fall (after this summer season), could potentially see having more coastal properties for sale from distressed buyers though not sure if this trend is yet occurring. 

Unfortunately for him he recognized he didn’t have enough data points to come to a conclusion on whether debt monetization has occurred. 

If there is an accident or incident at a property and you are sued, your other properties and personal assets are exposed. 

So even if you pick a state with stronger protections like WY or NV, the cause of action arose in the state where the tenant fell, so likely that the court where the accident happened would have jurisdiction.California tends to have more laws on the books and requirements and restrictions that it can be a good idea to form a CA LLC for out of state property so that you are covered.

Eventually misunderstandings and hard feeling will occur and you don't want to lose family over money

The issues with it are many; 1) you NEED to make absolutely sure the carrier will insure it especially if you are planning on updating the wiring that is when most fires occur and if you are not insured that’s no bueno; 2) most insurance brokers themselves don’t know or worse issue you an insurance policy - the result is that you technically do have ‘insurance’ in that you do pay the premium but are certainly not covered if something happens because of it; 3) if the electrical has been ‘updated’ check with your township to see what electrical permits were pulled if they have no record then chances are that the electrical may look updated but there is knob and tube behind the walls.