However, if that is undesired i would create a single account to hold all deposits.  

Additionally, have a clear budget, factoring in potential repair costs, and ensure you understand the rules about earnest money deposits and closing deadlines.LLC for Real Estate Investing: Forming an LLC for rental properties can offer liability protection and may provide tax advantages, though the tax benefits are non-existence for rentals.

@Zach Howard there is no agreed upon Classification in the 1-4 unit market.We've done our best to logically create a system for our market, mostly based upon relative sale prices, but also using crime rates, rents, occupant income and a few other variables. 

Get a new loan only for the equity created by this rehab?

You have to do some work to create real estate specific "Classes" and expense accounts for QB.

My only concern is searching for the rent to value "1% rule". 

Quote from @Makani Donaldson: From what I understand, different islands or cities have different rules, and they are getting stricter.

Newer septic rules also require enough land for two septic tanks per each one you are required to install.

Using the 30% affordability rule, the monthly rent affordability for most households would be around $1,545.

Know the rules, know the tenants, know how to get paid and know the repercussions.