This brought him a lot of relief and freedom from a troubling set of circumstances related to the past.

Christmas did just pass, and for all we know, your tenants (fill in relative here) could have just paid their rent for them.

I'm trying to figure out if it's related to improper repair on the first 2 visits, or if it was just time to replace it.

Or they have to hold until they die, then their relatives can sell tax free. 

I want to open somehow of a legal entity where I can add my rental properties located in Milwaukee WI. and all other  real estate related activities that I have going on in the state of AZ.I am  Realtor in the state of AZ and I do some property management here in Phoenix AZ.Any ideas where should I open the LLC in the state of WI or AZ?

I know i need to start looking more into tax strategies.I understand that save/buy is a (relatively) slow  way to expand.. but i'm also not looking for a "Boom"I'd be hard-pressed to refi... i've decent  rates and for now i'm looking at cashflow until i'm not dependant on my W2 job ( i think  that at 7 units i could "get by"..barely) then i can  move towards being more concerned on long term wealth/retirement/equityThe rentals have their own business account that i do not dip into** I do not pay myself rent, BUT the business account does pay my personal gas/electric.from my W2 earnings i spend about $1300/mo on everything ( from car insurance to eating out), rest is savedany new downpayments are a mix of business account and savingsWith the 5 total units ( 4 rented; 1 personal use)  I "Cashflow" about  $1K/mobut that number does not account for any CapEx.What might you change/suggest about my strategy?

So while they're related, they don't explicitly affect each other.

Stop looking when you find it.90% of the time a REI spends each day doing anything REI related, should be spent on Market Analysis.

I would not add a relative to get a bigger deal.

All of them would be relatively unusual, and it's probably best to consult a tax pro if you want to be certain.