In reality it was quite a number of other people doing it together and the person making the post only owns a small percentage and they’re really making the post in order to gain limited partners. 

They actually have pretty limited reach as of now and focus primarily on major metro areas.

In this case, am I still able to count the inspection fee as a capital loss, even though this expense occurred before I rented out my first property?

In that case, the only way you could lose money is if your property lose value and you have to sell at a capital loss.

You are wise to limit your scope to a particular type of company.I have been in the industry for the past two decades, and from my years in the business, I can recommend a couple of other companies outside of my family. 

Most investors focus on what can they buy now with their available capital instead of simply what is the best investment for their capital without limitations. 

It also could limit your exit strategy if the market softensseeing a lot of fix and flippers in kc as an example getting crushed due to this

Does it need enough work that it will not pass a conventional mortgage appraisal, thereby limiting yourself to cash buyers?

Keep your chin up and try to limit contact with your lawyer to dealing with actual issues with opposing counsel.

That will leave you with limited funds to actually purchase the house.