Update: Our home has been rented for $2,200, which is above what I initially stated.

We cleaned out the house for her and helped her move to another state.

I only thought Hawaii had ground leases .. so much to learn as we go state to state..

She has the contract stating I will purchase under my LLC, however now she is saying underwriting considers it a commercial loan and they don't do those types of commercial. 

Top left you will find tools there are leases there customized for your state.

.- Use cost segregation studies to expedite depreciation of your properties to offset large income gains.Entity Structure- Choose appropriate legal structure (LLC, partnership, or S corporation) with consideration for different tax implications.Tax Credits- Explore available credits, like energy-efficient or historic rehabilitation credits.Qualified Business Income (QBI) Deduction- Check eligibility for QBI deduction, providing up to a 20% deduction on qualified business income.Record Keeping- Keep accurate and organized records for tax compliance and audits.State and Local Taxes- Consider varying state and local tax implications, including property and income tax rates.Tax Planning- Engage in proactive tax planning, consulting with professionals for a comprehensive strategy.Tax Changes- Stay informed about changes in federal, state, and local tax laws affecting real estate investments.Remember to consult a real estate tax professional for personalized advice based on your specific situation.

@Catherine Javier IRS Pub 527 states "Example.

Depending on how well written they are and the "then current" financial laws and the state & county the property is in and the type of lawsuit and the mood of the court and the expertise of your attorney, you can mitigate most risk but not all.

Here in Colorado, STR rules are city and county specific and the laws vary widely across the state.

If you ask them usury rate in your local state and they hesitate, then they likely aren't super familiar and only dabble in it.