It would make sense that it's a separate systems.

You will also want to ask your lawyer if you should have separate classes of shares for all shareowners and/or if each couple should have their own holding company which, in-turn, owns the principal company.

The owners didn't even have the electricity (heat) to two of the units separated, so the owner is actually footing the electric bill (avg. $230 / month).

The reason why I like to separate the two is that I don't want my sellers getting bogged down with to much information.

I feel a little exposed with the current set up, so I have been thinking of moving them to separate Land Trust for each property and having a LLC as the beneficiary.What are the benefits and drawbacks of doing this?

As far as depreciation, you would use your purchase price minus land (assessed separate) and then add in capital improvements.

For example, if you manage the properties held by the LLC, you can create separate entity (it can be simply sole-proprietorship) that would do management function.The contributions are based only on your earned self-employment income (not the passive income from rentals or other employed income).Hope this helps.

If you have the parking, I'd find one where you have a basement to finish off for an additional room...and rent the other bedrooms separately.

@Jose PerezLandlord pays water and heatingI will almost always pass on a deal where I am responsible for heating unless there is a way to separate the gas and electric.

If #1 is a brick townhouse or single story style with a shingle roof in good condition (for example) then it might be a better buy than a painted wood, flat tar-roofed bldg with apartments that are over/under. or if one has separately metered everything, and the other doesn't.That sort of stuff can make a big difference that doesn't show up immediately in the math