Reason is, they can sue your tail off for screwing them around on some whizbang deal that never happens, it's not so much about you electing not to buy under an option as what you make them believe, if they end up getting a trashed rental back from you, you're on the hook.

If you try to hold on to tight you could end up really losing, damages, cleaning expenses, lost rent, possible elections, ect...

If we were to double close it could easily eat 25-30% of the small profit so we elected to do an assignment as we have that provision in our contracts.

I have not used either personally, but I have spoken to two contacts in the Rochester area . . . one is Rudy Napodano at First Niagara:Rudy Napodano, Vice President  Rochester Business Banking First Niagara Bank777 Canal View Blvd.

Having been the major property owner and president of an HOA many years ago, I got tired of seeing the litigation.

Remember an LLC is a state designation so you would be classified depending on the setup...i.e. single member LLC (sole proprietor), multi-member (partnership), or corporation (s or c if elected).I am not an attorney and this is not legal advice.

I am not currently in Ottawa right now because of the election campaign, but, I plan on returning to the city once the election is over.

@Jeff L.If you elect to obtain additional insurance, like the umbrella you mentioned, no, this is done outside of the mortgage company. 

So you may elect to bear the monthly MI paid monthly because you figure you'll be at the MI drop off point soon anyway.

Most of the investors I incorporated would do something similar to this:Setup DE or NV C- Corp, file the S election with the IRS (no way to file an S corp directly with the state (any state) since the S-election is just a different way of filing taxes and nothing to do with the State.Then, they would set up an LLC (typically in the name of the street the property was located on) in the state that the property was located in, listing the S corp as the member or manager.