If your 1065 is done properly, the nature of the passive rental income will remain the same - no self employment tax.The concept of whether it's better to run it through an LLC vs keeping it in your own name is a topic that has been batted back and forth here on BP and elsewhere with no real conclusion.  

Hey @Ards Aram it might be ab it different bu the "concepts" are the same. :) 

The lack of basic legal knowledge and the ramifications of investor's in the unknown is par for the course. 

Learning from some of the greats like Elon Musk, Tai Lopez, Will Durant, and Warren Buffet I hope to bring some of the concepts into investing and apply them to real estate with your help.

. :)  It's basically a full rehab.  

(so time changes motivation for sure) he basically took what he owed, we decided we could profit , got it under contract posted it on my local REI forum at 11pm the next morning had about 3 potential buyers, 1 even sent a contract!

@Jarred Sleeth Here's a simplified model to show the concept.

As the others mentioned, you have zero "equity in the house", but your note has a ton of equity (basically the FMV minus your Unpaid Principal Balance).Your question doesn't make a ton of sense because it's not clear what you really want to know.

To do it right, a turnkey company basically needs to do what a full blown investment broker does and not just put in any tenant to make a quick sale.

Beginning with the property on Barry Road, and going with a Rich Dad Poor Dad concept and assuming that is in Farfield, I would think that's a large liability and you will start by getting rid of that.Yes the House is in fairfield Vermont Good work Nick!