Lost in Logistics - help!

[Andrew DeWeerd]

Hey BP'ers!

Brand new to the REI scene here - I've been on a knowledge bender for the past two months, and I am ready to go see the first property of the many that I've analyzed/calculated with would be a 20% COC, 9% CAP, after my soon-to-be-offer on an off market property... I have just a few logistical questions, and one property specific question, if you guys could help!

I've secured $125k of funding between me and a partner, created the multi-member LLC (will be filing for s-corp tax status in next few months for 2018, which seemed like the wisest thing to do with a 51%/49% partnership structure), and setting up bank account this week.

1) My lender says that I'd have to title the property in an individuals name, and transfer deed to LLC after closing, as we'll be financing about 60% of the price on this first property.. is this hard to do, and is there any way around this, outside of paying all cash, to getting the property in the LLC's name?

AND

2) If this deed transfer process is a longer process, and rents would be collected before it's transferred (tenants already occupied), then would I still be able to collect them under the LLC, or would that have to be considered personal income, and not income credited to the LLC until the deed is in LLC's name?

3) The home is an original 3/2, but at some point, before this owner bought it 9 years ago, it was turned into a duplex with a 2/2 and studio. I found off-market and not sure of it's legal duplex zoning, which would be listed normally on MLS.. which I just realized yesterday.. BUT people rent multiple rooms out of homes all the time, don't they (I did in college..)? How will this affect the financing process with my lender if it's not zoned a duplex? How will I have to structure future leases to keep it legal? How much would it cost to have it zoned to a duplex? Or is this all just a pipe dream, and I should back away from this deal slowly..?

**This seller has 2 properties they want to sell, off market, which I'd like to buy/hold this one, and flip the condo she's also selling, trying to get both properties simultaneously in a two property deal, where I offer way less than she's asking for each..

Any advice from the BP community is MORE THAN appreciated!!

Thanks in advance,

Andrew DeWeerd