This is common practice. 

You could practically throw a dart at a Columbus map and it would hit somewhere that'll make a good investment.

There are many imperfections due to the carpet pad practically decomposing on them and also many worn areas.

Mike -Forming an LLC is a good legal best practice to house a RE rental and would be a Schedule E transaction for you.

Is it a normal practice? 

I feel this is not a best practice, but I'm not sure how to improve it.

My banks didnt turn me down, I didnt move forward because their lending practices has changed within the last year.

And was simply a liability avoidance/consistent accounting practice issue.

https://sutlaw.com/practice-areas/asset-protection/asset-protection-attorney-asset-protection-strategieshttps://www.biggerpockets.com/forums/52/topics/1181145-moving-properties-to-an-llchttps://www.biggerpockets.com/forums/48/topics/1170797-how-do-you-protect-your-properties

An investor friendly agent can do all sorts of helpful things, like setting you up with a search for properties or connecting you with folks who have recently done deals like the ones you want to do. 6) Consider analyzing a deal or two in your local market, just for practice, with a free use of our Rental Property Calculator (or other calculators).