In addition to conventional loans and FHA loans, if either you or your wife are veterans, the VA also has a rehab program.I'd be happy to discuss my rehab experience both as an investor and as a mortgage broker, and at least help you think through your options. 

@James Tobin  yes FHA will be a very low downpayment option for you.

Once they are leased, then you can take over from there.There are several software options if you want to self manage.

So many better options. 

Additionally, regarding the legal structure, an LLC seems to be the most suitable option for our situation.

At this stage, you can also discuss creative financing options, like seller financing, that might help bridge the gap between what you can afford and what they’d like to get for the property.

I'm happy to chat about your options to see if we can get you out of this mess. 

Some, like ours, focus on offering optional services such as renters insurance or washer/dryer rentals without requiring tenants to opt into a full package.When choosing a property manager, I recommend asking about the structure and purpose of any fees.

I suppose something more turn-key could be a good option, but haven't come across many viable options there yet.Anyways, we still have a lot more to learn and still need to familiarize ourselves with the area/market, but just wanted to pop in to say hi! 

I recommend comparing lenders to make sure you get some good terms and financing options for your next investment!