To illustrate:You inherit a property today that your relative/friend bought 10 years ago for 100k.

Or your relatives. 

Using this strategy will definitely show it's dividends down the road vs. buying single family homes.The first thing you need to consider is your relative experience and familiarity with the Phoenix Metro Area.

This way you can also measure your relative success vs the time you put in.

Also, I don't understand your related note.  

But if you already own the home, if you have a skill set that compliments theirs or the downpayment money, their experience may be leveraged to finance the deal.And there is always the "friends and family" approach of trying to get one of your relatives to put up the money, either as a loan or equity, to get started.  

I have been actively listening to BP podcasts and reading and there are a few options but i am still unclear.It is much more evident what to do if you are into BRRRR, because then you have an option to seek the short term private loan or even borrow against the credit card or your relatives.

How many of your relatives and friends? 

It's not you that should be speaking with an attorney, @JJ Mayer, it's your relative who, in the eyes of the law, is now a lender.

Your relative cost of same LLCs as above is less than 1/2 of 1% of your net worth (for the LLCs direct and foreign entity costs).