You probably bought into a fund (often in an LLC) or a single-property LLC managed by the company. 

My understanding is the operating agreements only help for entity's such as llc etc. 

Structuring is easy -- set up a separate LLC with this group, allocate % of ownership on the LLC based on % of ownership in the properties, capital investments, etc. however you'd like.

What’s the minimum a partner needs to do in an LLC (owning rental property) to be considered active enough to avoid it being labeled an investment security under the Howey Test?

The lender required me to quit claim out of my LLC which I use for asset protection.

While it is true that in the past lenders were happy to trigger the due-on-sale clause, this has not actually been the case in recent years due to some LLC-friendly changes in servicing guidelines published by Fannie Mae and Freddie Mac.

This might be a problem.3) Should I consider an LLC if I rent my Primary Residence...I would think that in order to keep homeowners' exemption for property tax I would have to keep it in my wife and my name...thoughts?

This might be a problem.3) Should I consider an LLC if I rent my Primary Residence...I would think that in order to keep homeowners' exemption for property tax I would have to keep it in my wife and my name...thoughts?

The distressed houses will be 250k+, I don't know for sure but I did look at setting up a network in Salt Lake City a few years back and I remember the price to play being very high and it was a competitive/active market with a ton of cash transactions.The minor leagues to this REI thing is:1) Get yourself ready by opening an LLC. 

I will manage the project end to end, treat this as a serious business, and ensure it's legally structured for everyone's protection (LLC, operating agreement, etc).If you’re looking for a high-cash-flow, blue-chip location investment with a committed operator — let’s talk.