I recently sold my personal house , had a buyer get a home inspection , and tried the same crap , to the tune of $60K .

One person's crazy is another person's sanity!

Additionally, if your goal is to maximize personal financial benefits, consider profit distributions from the property-owning LLC, which may provide tax flexibility depending on your situation.By adhering to FMV, maintaining proper documentation, and structuring the lease agreement carefully, you can optimize tax benefits while staying compliant.This post does not create a CPA-Client relationship.

If I understand correctly; the seller would receive 80% ($40,000) directly from the mortgagee at closing and would enter into a personal agreement with me for the 20% down payment ($10,000) in which he would be reimbursed separately from my mortgage payments at a separately agreed upon rate and term?

Thanks What loan product are you shopping for?

I would confirm by seeing the product then going out and checking comparables in that market that have sold. 

The 2008 timeframe was different and in situations a lot harder than now, but this market will shape a lot of investors that found their new market, product to focus on, and/or to dive in deeper when times get tough.   

I don't have any brand preferences personally (I use Fantasy Spas at most of my units but I'm sure there are alot of reputable options), but just make sure wherever you place it is built to handle that type of weight.

Building wealth quickly is not an enjoyable experience—you have to go through some pain to experience the reward at the end.Trust me, from personal experience: the quicker the wealth building = the more pain.

Now the tenant may have a legitimate personal injury claim and more.3) "Citing Renters Insurance declined coverage"- So, tenant has Renters Insurance?