Does a single entity own 10% or more of the units?

It's easy enough to have your management entity named as co-insured when they buy their policy, and if they cancel it, you are then notified and can violate the tenant for lease violation (if you set up your lease properly).  

Are you having them write checks to a new entity now?

@Mitch Bernstein That would be a question for a lawyer, but I would guess that the answer would be yes.The LLC that is GCing the job should be run much like an independent business with it's own checking account, all contracts and invoices with your subs going through that entity, etc.

Form your entity, put the cash into its bank account, and make offers in the entity's name.If you need a mortgage, things are more complex.

Any guesses as to which one state I formed the entity in?

Concerning the deed transfer and your bank/lender, and most other banks/lenders, will almost certainly not be kosher with the deed transferring to a new entity even though it is yours.

I am just starting out and I read it's better to keep the active (flipping, wholesaling, etc) in one entity and the passive (rentals) in another.

I could think of a hundred reasons not to buy a property and it would be pretty hard putting all those issues in a clearly understandable agreement.Best way is to put your birddog inside your LLC and have them conduct the work inside the principal entity that will be buying. :)

Before you do anything, you should consult with a cross border specialist (legal/accountant) as to the best entity structure for holding your RE investments.