If hoarding is too great, then fire escape routes could be compromised, putting the tenant in danger.

You can't get a regular conventional loan or an FHA loan if the plumbing has been vandalized and there are other interior condition problems that compromise regular living standards.If you buy a house in a "decent" condition, like one that only needs a little paint and a little updating, you are going to be buying a property that is close to market value and will have little to no room for profit.

For example, barkeepers's helper is fantastic for porcelain sinks or bathtubs, and inexpensive. 2. learn to fix things because whatever you cannot, you will have to pay to fix. get to know home depot and make it your best friend. know the prices for items. find and get to know handymen in the local area. knowing this will help you save on expenses and not get overcharged.3. if you ever had roommates, learn to get along with them. learn to compromise. roommates are an extension of future tenants. it is give and take. if you want long term tenants, need to be fair and reasonable. if you have the money, and don't care about the above, then get a property manager that will charge you 6% of the rents each month.

It would all depend on the scope and cost of the proposed improvements, how much skin in the game they think you should have in it, and if they feel the character and charm (or whatever) is not compromised.

TEK - You can try to enforce the provisions of the lease with the moving tenant, but you are better off compromising to save your legal costs, because you WILL win in court and you will pay more to collect the judgment than it is worth.  

So to answer your question directly, live-in-then-rent, live-in-then-rent, live-in-then-rent :-) I'm trying to figure out the most beneficial way to purchase a live-in-then-rent to later have the protection of the LLC once we get to the point of renting it, without compromising the protection of the LLC at that point.

If the situation continues to escalate and the neighbor doesn't seem to want to compromise we may need to seek advice from someone well versed in HOA law, as you said :). 

You could negotiate them starting to pay in mid-July perhaps as a compromise if you REALLY want them to be your tenants.

As stated no deal is perfect so be prepared to compromise on your criteria to where the numbers work. 

I would change the closing date to a compromise time line, maybe 12weeks maximum and hold firm.