Im in New York, And I am told the cost of the LLC is not beneficial for a small investor.

Many new investors get caught up in the hype of less-transparent businesses (both marketers and so-called turnkey providers like Morris) and those of us in the industry that are working to educate investors and facilitate mutually-beneficial investments get a little frustrated.

The Delaware Statutory Trust is like a mutual fund of properties which you can 1031 exchange into.

Rule #2 Rules are meant to be broken.For what it is worth I think the guru's selling LLCs have greatly overstated their value to an investor and are charging outrageous trumped up fees and the only folks making money with them are the shady folks marketing them 24/7.After examining the "Tax Cuts and Jobs Act" (Trump Tax Cuts) the most beneficial income tax treatment starting in 2018 is the "S Type Corporation".

But the most important document is the "Contract / Independent Contractor Agreement", which details your relationship and mutual responsibilities.

It would be beneficial to actually know what leased in these areas so you know how to successfully purchase.

Randy,The two options are not mutually exclusive. 

I suppose if that were all I was investing, I would probably start with a large cap stock index (mutual) fund.

Definitely partnering with an experienced operator in those markets would be beneficial.

If this is your very first property, it would probably be beneficial to keep your realtor involved.