You could spend 10+ years building a 30 property portfolio for example and lose half of the properties in one lawsuit if they're not structured appropriately and you run into that 300k settlement.

I have a W2 job that supplies me with $65K per year, and my current rental unit supplies me with $9K in gross rent per year.

I am looking for some advice on how you structure deals when pulling in an outside party.Here’s the scenario.

Gain knowledge in all aspects evaluating and maintaining property - structural, electric, plumbing, etc.

One issue came up and need your help:The stabilized value will be $20M Debt: $12MI was going to raise $4M for 50% and keep the other 50% (I really like the space-great credit tenant-I pushed hard to get 4.5% increase - newer built-best location etc.)TAX issue: My basis in the asset is closer to $5M (50%=2.5M) when raising $4M for 50%, how can I structure to not incur a taxable event?

There are certain requirements for the LLC structure, and if properly followed, the lender WILL ALLOW you to transfer the property into your LLC. 

Nate, I would also like to hear more on how the tax benefits work on hard-money loans (and plusses and minuses you've found on the structure).

It will be important to structure everything correctly and make sure you are in compliance with all tax laws etc.

I have contacted planning at the city and most of the upcoming zoning changes would allow this type of structure in residential zones.

None of these talk about deal structure in depth.