I prefer porcelain tile because it can take a lot of abuse.  

The problem i have is ... the house is a single family house and i put a wall in between to separate the 2.. i dont want to bring the wall down.. i can bring it down anytime but i have some renters so i dont want to bring the way down.. the wall makes it 2 condos instead of a Single family...once again i can convert this anytime to single family...now when the appraser comes and see it is not single fmaily is it going to cause my line of credit to be denied?  

Then they have a claim and its denied because the house was empty.This is your error and you're going to have to eat the loss.  

A few weeks later we get a letter from State Farm itself, saying it has denied our policy and it will be canceled in a few weeks.Is this normal?

When I told them where the evictions showed up they didn't deny it but I was surprised nonetheless.

Except that there was a recent NH Supreme Court decision with the result that any rent agreements between the landlord and the tenant that are future to the court date will be denied. 

I would say either rent to them and inspect the property when they leave and if there are problems recoup them with security deposit or don't risk it and deny their app.

Brian is right, single member LLCs came under regulatory scrutiny back in 2009, due to abuses that were being discovered in these so-called "checkbook control IRAs".  

Legislation to end this abusive, excessive, and illegally applied fee was pursued in Colorado several years ago but was watered down and then killed by HOA property manager interests.

@Marci Zhang - Wow, sorry about that, but, the thing about real estate is that it's like a bus....there is always another one coming.Good luck with your next search and REI journey.