Sendhil Krishnan:Jay Hinrichs is correct.  

It's not a line of credit, correct?

Not all  glamour, and Glitz but planned correctly can be very rewarding Alex

And Darren is correct, performers are passive, until they stop paying, then they are no longer passive and you need to oversea the servicers action and make sure they, or you with their blessings are calling at least 3x a day, leaving 1 voice mail message, including weekends. 

My plan is to offer to buy the property for the amount of tax owed on the property ($2200).My question has to do with the correct way of handling this transaction when it comes to deeds.

@Andrew Noway is correct.

Would be difficult to set up a multi member llc correctly without good legal counsel.

Please correct me if I'm wrong.

We all bet on ever increasing value for our real estate, but a market correction could see you upside down in a snap. 

So I do the address LOE, the credit inquiry LOE, the YTD P&L and balance statement, all that stuff, and just send it to be signed by the borrower after they "check for accuracy and revise as needed" (95% of borrowers just sign whatever the heck I write, so to the best of my knowledge my imagination is correct 95% of the time as indicated by those signatures).