Even if they have no right (as per the contract) to do the walk through........ you'd likely spend more effort dealing w/ it vs just letting them do it.

I'm also a first-time investor.After spending a few years saving and studying, I determined that investment properties were my best option for financial freedom.

There's a balance between legal protection and tax + LLC filing that needs to be struck.

There's a balance between legal protection and tax + LLC filing that needs to be struck.

I’m not sure how you look at things but many times what you spend is what you’ll get. 

Buy lists of owners of properties of the type you might be looking for - multi-family 2 to 4 units, or who would be motivated single family owners:  send direct mail - lots of it.I do a lot of #1 and #3. . . if you have a brand new marketing machine, you need to spend more money on #2, if your machine is 15 years old like mine and your website already ranks, and you want to target your leads to specific properties and areas rather than a blanket ad across the metro, then I spend more money on direct mail and retargeting. 

What is the best way to protect ourselves legally and structurally from each other in the many worst case scenarios?

If you are ok with spending the majority of your money on a down payment for a property now with the possibility in 10 years it will appreciate to make you some money then it’s ok.  

My 5 year goal is to make enough in passive income to quit my job in order to spend more time with my two kids, travel more, and secure retirement. 

2- how is the private lender protected if the deal goes south?