They know an LLC can liquidate its assets and disappear over night and there's no one to collect from. 

. $30k in liquid savingsLive in Southern CaliforniaI’m reading The House Hacking Strategy and it is striking a nerve down in the bottom of my soul somewhere that this is what we need to do in life to really progress forward in our long-term wealth and the amount of time I will be able to spend with my kids in the future.

Can you be more specific on your liquidity, do you own a house now, experience in construction and on and on!

Also, if it’s a great deal by some sort of objective measure but you need liquidity of your investments it could be a bad decision.  

There is a ladder with the USA Treasuries and USA bonds at the low end and higher risk, less liquid investments at a higher rate (a cap rate is the RE term).You can not ignore cap rates when buying and selling a commercial property.

so I can see when your buying a tape.. you do the same.. either sell it to the next guy for a profit or slice and dice them and liquidate to get the highest returns..  

I am completely liquid at the moment trying to make a couple smart multifamily investments.

If yes, then might as well put the money in REITs which will provide diversification, liquidity, and a steady cash flow of 5-6% with zero effort.

I noticed liquid in various areas, which I suspected to be fresh urine.

Exclusivity and a lack of liquidity in any type of market can push prices higher.