Your assuming mutual agreement, when in actually the current owner is only stating the intention of his tenant.  

Recently dealt with same situation, month to month tenant there almost 4 years with no intention to move.

It’s about you intention.

My intention was to ask more for the tangible skills but the way you broke it up into both was great.

I want to make sure that I have the ownership structure set up well, to ensure the best asset protection.I have heard a lot of recommendation to set up the property under an LLC, and have informed the lender & mortgage broker of my intentions to transfer the title to the LLC after closing - and they have no issue with that, as it they have seen it done frequently.The issue I am currently struggling with is with liability insurance.

So ill be completely truthfull.

@Mark PoultonI will try this one last time as my intent was to help the OP get a Sub2 closed in TexasYou are correct that this is not the 80's. 

I have been talking to one and he seems very knowledgeable with good intentions but it never hurts to reach out to get another quoteThanks!

That something is the following requirement (or similar):  "... if a notice, describing any part of the Land, is recorded in the Public Records setting forth the violation or intention to enforce, but only to the extent of the violation or enforcement referred to in that notice."

My intentions were to go through the process of getting a special permit to make it into a 3 family but due to the high cost it was not worth it.I'm assuming there's a fine involved.