You can be well compensated for your efforts, but you now have a job.  

What are everyone's thoughts on this scenario as well as the economy as a whole?

As for LLCs you may open one and protect yourself,  it you always have house insurance and in my leases my tenant gives up the opportunity of insurance and has the option to get renters insurance.

Most people wont go that extra step.Oh, and by the way, don't send beautiful well designed post cards.

Well besides the hard costs (construction, materials) and soft costs (permitting, architecture, fees, engineering) people often forget holding costs. 

Asset Protection through LLCs: Some lawyers I've consulted mentioned a package that includes both probate avoidance and asset protection.

A well written management contract should clearly spell out what is expected of both the PMC and the owner, to PROTECT both and avoid misunderstandings.

I live in PA and there are prety strict sellers disclosure laws . protected for upto 2 years 

@Anastasia Jordan can I get a copy of the letter as well?

I hope all is well with you.