Also, to find deals with $50K spreads you're usually looking at major problems such as septics, structural, etc. 

I want to understand how to structure the finance terms.if for example the house is on the market  for $200K1. how much do i ask for down payment2 going interest rate?

Based on what I have heard/read thus far, it seems like I don't need a formal legal structure such as LLC for running this is as an active business (but I may set up an LLC for asset protection, which is allowed by my mortgage lender).

Hi,I had a quick question about my residential property. It has recently been paid off. What should be my next steps:Should I move it to my name or put it under a holding company / Trust or have it under an LLC? I wan...

By doing so and if structured correctly you may find your tenant covering most of your mortgage and monthly expenses. 

Your structure is complex and not cost-effective.

It's also worth mentioning that it's better to consult the CPA BEFORE you make a major decision (buying, selling, converting to rental, etc), since that's when you still have the opportunity to strategize and structure the transaction in the most tax-advantageous way. 

That sounds like a prison sentence, not a financial freedom plan.

I know people handle the hiring and pay structure of their contractors differently.

The people I see with tens of millions or more with money find the best people they can and structure systems to realize more free time.