Since you would be vulnerable to property management schemes as well. 3) With regards to what entity you would need; Ask your accountant.

You can bring the account current by paying off the outstanding balance.If you're looking to do a cash-out refinance in order to pay off your siblings, I'd connect with your attorney and a local lender to ask how you can facilitate this. 

If your only raising rents 3-5% then a small lifestyle change on your tenants part (cable, pets, vices) could likely account for the increase. 

Originally posted by Account Closed:@Aaron Klatt I understand there is potential liability; however, I am not asking for legal advice.

Account Closed I would take that 30K and use a hard money loan to flip a house take the profits and invest in a rental property, what is left over goes back into the "flipping fund".

So like mentioned above get a tax lawyer or a tax accountant and ask a few questions.

Take into account RE taxes, Mortgage interest, charitable donations, large medical expenses, ect...compare it against 2017's total.If you took a look against the rental but used the proceeds for personal use- IE to pay off your personal residence the interest would not be deductible as a business expense. 

Account Closed absolutely not.

There are quite a few considerations to take into account when working with investors like myself in this competitive market. 

If that really is a requirement of this settlement service provider, get the lender on the horn and give them a heads up that the funds are going to be deposited in your sons account prior to being sent over, and ask what they need.