There are reasons there are investments that stem from a saving account in a bank to commodities and futures.

The process of foreclosure which is commonly talked about as being "judicial" or "non-judicial" actually stems from the theory of title each state adopted.

Your tenant buyer can't perform because you can't perform, financial damages can easily exceed the value of the property or contract.Always make future contracts stemming from an installment sale subject to the settlement of that underlying sale.And, yes, settlements are basically simultaneous sales, back to back recordings to provide the chain of title. :)         

The OpA generally won't be the issue, other than making poor elections, but piercing the vial stems more often from under capitalization, comingling funds, improperly executed documents or poor management in maintenance of the LLC, these issues are a reflection on the managing member.

There is a whole big bag of issues that you are likely not thinking about that will come with attempting to use this and a even bigger bag of issues and liability that stem directly from use.  

My dislike for HOAs stems from how they operate. 

So yes I do the best I can to document everything so I can take it out of their security deposit.This allows me to take the money out of the security deposit and stem tenants "complaining" when this happens with facts.

You must be licensed in 45 of the 50 states to manage properties you do not own (including for family).I imagine the laws stem from consumer protection needs.

The basis seems to stem from the point that a Borrower may not devalue the collateral to suit their needs.  

UBTI stems from when the income producing activity is a trade or business, such as providing a product or service, new development of real estate for immediate sale, etc.