Especially if I had properly originated documents with claims to rents and a senior position.  

It really helps on security deposit claims and how structurally sound your house is before it becomes an issue 

Any one claim vandalism coverage under home owner insurance?

We make excellent income from it, FINALLY (1st year claiming with a 1099).

Over  a hold period as the asset gets older the operating costs usually start going up more.A seller owning a brand new built asset years 1 to 10 and claiming XX costs might be true but you owning for the next years 11 to 20 etc. the cost profile of the property will be way different as many items will reach the end of their life expectancy and need replacement or multiple repairs to keep functioning optimally.Even on larger multifamily 50% is common for total expenses and if landlord pays utility it can even be more like 60% operating costs.

if you do and go to change the Deed to the property to say the LLC now owns it AS @Deren Huang suggested, that could trigger a due on sales clause in your loan agreement. some banks may look the other way and not worry about it, but there may be a chance that if you do that the bank can call the loan note, claiming the property was sold and want the loan paid. but with out changing the deed forming an LLC would be useless for it's protection because the house would still be in your name. then you might as well leave it under your name and get an umbrella policy to protect you as Account Closed suggested.

I have read about doing a "Quit Claim Deed," and was wondering if anyone could give me any advice on this?

Do I tell him to get a quit claim deed from the actual deed holders before investigating the properties?

It is under my name and not an LLC, but I plan to create an LLC and quit-claim it very soon (any advise on this would be greatly appreciated).I have been using my personal checking account to pay for maintenance, repairs, etc.  

Send a certified letter requesting it and include the state law: If he doesn't respond accordingly file for a small claim judgement of 2x the deposit.