Got proper permits, re-did all the work, and and was still able to sell the property for a profit. 

I want to keep the tenant happy and the property properly maintained.

Proper screening could have prevented this.

So, proper screening is EXTREMELY important!

They just expect it to support their lifestyle once they stop working along with some tax deductions. 

Take ownership of your mistake and learn to do the proper due diligence recommended above😊

If I were to do this, which I don't plan to for at least a few months (I would like to properly do my research) I was also curious whether or not people thought interest rates on HELOC LOANS were going to start going down or continue going up?

Not just in the setup, initially, but separate bank accounts and properly signing all documents as a member of the LLC, even if you post on your personal social media accounts about a property owned by the LLC, if someone sues you, they will try to use all of that to get to you personally.  

So my wife and I own a few rental properties but we decided about a year ago that for the time being, we wanted to live a minimalist lifestyle while our two kids are young.

Take ownership of your mistake and learn to do the proper due diligence recommended above😊