It just adds complexities and costs without any benefits. 

I would recommend getting a free cost/benefit analysis to see if you specifically could benefit from the study.Real Estate Professional Status

@Eric Helena, There is no statutory prohibition against purchasing from a related party to complete a 1031 exchange. 

How do I protect myself in this situation, while also helping a relative? 

There are a number of tax strategies which you could benefit from.

Quote from @Ehrich Roberts: G’Day,Grateful for any advice in relation to mortgage options in British Columbia where liquid capital in combination with rental income would be accepted towards qualifying for a mortgage. 

that we’ve learned in our 24 years, managing almost 700 doors across the Metro Detroit area, including almost 100 S8 leases:Class A Properties:Cashflow vs Appreciation: Typically, 3-5 years for positive cashflow, but you get highest relative rent & value appreciation.Vacancy Est: Historically 10%, 5% the more recent norm.Tenant Pool: Majority will have FICO scores of 680+ (roughly 5% probability of default), zero evictions in last 7 years.Class B Properties:Cashflow vs Appreciation: Typically, decent amount of relative rent & value appreciation.Vacancy Est: Historically 10%, 5% should be applied only if proper research done to support.Tenant Pool: Majority will have FICO scores of 620-680 (around 10% probability of default), some blemishes, but should have no evictions in last 5 yearsClass C Properties:Cashflow vs Appreciation: Typically, high cashflow and at the lower end of relative rent & value appreciation.

I'm just here to note that an LLC does not offer a single tax benefit, nor does it allow any deductions that aren't allowed without an LLC. 

It has almost zero benefit to have it to just represent yourself. 

Small (1700 sqft or less) medium (1701 -1999 sqft) and large (2000 sqft or more)Cost benefit analysis Estimates IF 300+ homes are built over 10 yearsAlot of technical information to say that:- When I start development, i will be going into uncharted territory. - New construction will be comped against other new construction - Start out with enough comps to justify the price point- keep the area tight to consolidate the risk vs building one or two in different parts of the same neighborhood.