Since it's my only property and we've developed a relationship with them over the years, even if from afar, I considered taking them to lunch or coffee to discuss but would that be too formal and over-the-top for such a small property?

In that scenario, it’s best to have a formal agreement drawn up and signed, ideally by an attorney, so it’s professional and credible to the bank or auction officials.

A contract for deed THEORETICALLY works differently, in that since the warranty deed is NOT recorded there’s no need for formal foreclosure - but in the last 20 years various states have passed laws and or regulations providing contract buyers with greater protections that may necessitate foreclosure or “foreclosure like” proceeding in order to gain “ownership”.  

Not sure if that counts as formal policy, but it seems to work.Curious how others here handle it, do you stick to strict across-the-board adjustments, or build in flexibility to reward A+ tenants?

I’ve already been handling most of the work myself, so formalizing that setup could help streamline expenses and boost protection like you said.Good to know depreciation doesn't hinge on having an LLC .

On September 2, 2025, former President Donald Trump formally announced that the U.S.

Even without being formally recorded, certain HOA claims (such as unpaid assessments) survive foreclosure and automatically attach to the property.

This formalizes duties, fees (even if nominal), and liability separation.Update leases to show the LLC as "Manager" or "Agent," but retain ownership in your personal names.

I’d recommend a formal agreement outlining stakes, responsibilities, and profit split, plus a clear plan for buying out her equity.

• At what point in your scaling journey did you find that having a formal entity (LLC, LP, or trust) became non-negotiable for both protection and ease of growing your portfolio?