My inclination is to have them removed, as they do present a risk of falling onto somebody's home. 

Will depend on several factors like the type of property, type of tenants, your risk tolerance, other assets you own, your estate planning, laws where the property is located, etc.Any lawsuits would be limited to the assets of the LLC and not your personal assets (assuming you run the LLC appropriately and the corporate veil is not pierced).

I know that is not what I want to do, but I think it mitigates some of the risk if that is what you were alluding to.   

Calculated risks are always better.. do the risks out whey the pros in this situation?

they are paying far under market and cash flow would depend entirely on raising the rent.I'm sure I'm forgetting something, but I was hoping the collective BP hivemind might be able to shed some light on the further risks or implications of thus newfound info on my prospective duplex.thanks in advance!

why sit on the side line and wait for a crash that may never happen .. and probably if it does wont be near the magnatude of the last one.There are multiple different types of investments in and around real estate other than being a landlord.. so maybe we confuse the developer who just did a subdivision and flipped the plat to LEnnar and made 2 million in it in 16 months with 150k into it.. .. those are pretty cool homeruns.. and done all the time.. but you need the skill set to set into the guy or gal that can source a property that a company like DR or Lennar will buy you need the strength to talk the farmer into letting you have an option on the property you have to have the Risk tolarnce to put up 150k and maybe lose it... becasue you can t flip that plat.. you have to have contacts at the big builders to get to their land ACK guys or gals.. but you put that all together and thats what a homerun looks like. guys that buy at courthouse steps  hit tons of base hits..

The only risk we really have is the $75,000 in furniture we own.

You have to decide on whether or not leveraging debt is something you want to do, and if the calculated risk makes sense to you.then buy multiple...

While disqualified parties can invest together if done properly, the real risk you run is having the IRS rule the transaction as self-dealing. 

For my day job I work as an Actuary and my primary experiences is in Risk Management, Asset-Liability Management, and Model development - which I hope to translate most of these skills into my real estate investment plan.I am interested in growing long-term wealth through acquiring a portfolio of cash-flowing rentals.