Your first step is definitely learning about the markets you are interested in and figuring our what your desired end state / goal is that you are hoping to achieve through real estate.

Yes, it will definitely be through an LLC.

No lender is going to do that and PennyMac definitely isn't going to do it.

I just haven’t had much experience with underwriting those types of properties, so I’ll definitely need to dig into that more.If you have any advice or resources for underwriting smaller multifamily deals, I’d love to hear about it.

There isn't enough information in here about the current state of the house to be able to advise you, but I would think #3 is a definite no as it seems unnecessary from a cost perspective although that market has scale to accept it.

You're definitely not too late to the game!

The equity gap can definitely be a challenge but there are still deals out there - typically with homes that were purchased in early 2022. 

There is definitely an economy of scale aspect to this.

MTR is tough to gauge and is definitely depending on location. 

I will definitely look into the books you recommended.