Since then, I have been militant about budgeting/credit and all bills have been paid on time. 

Was considering trying to get a SFR with a MIL and rent it to someone who would Airbnb the MIL. It

I'm also getting a lot of section 8 applicants that are very militant with wanting to move in right away. 

Because you're in the mil it may still make sense depending on your situation as you would still be benefiting from equity pay down and over time your rent rates should increase, not to mention you would be freed up to do whatever else you need to. 

I doubt that many will become as militant rent-wise as those who have their pockets a lot more lined with money want them to be.And as to "Renters Advocates", Owners are the best "Renters Advocates" there are:-- Owners prescreen people to make it more likely they can afford to continue to live indoors.-- Owners provide clean, safe, comfortable housing situations to people who can not afford to buy their own home.-- Owners maintain the property so those who cannot afford to do it have a roof over their head that does not leak (an un-doable repair expense for "The Working Poor"), and replace furnaces so they don't freeze to death in the winter, and replace hot water heaters so they can wash.The working poor cannot afford to buy furnace, let alone the price of installation.There is not a renter/owner problem in the USA, other than what is being artificially gined up.The system works well for both sides.Just my 2 cents. 

Let me clarify, the house that is situated next to the home I am trying to get was just built and is valued at $5 mil. It

They generally take a few months, are quite effective, but costly.There are other ways to deal with these situations too, but you need a militant code enforcement regime like we have here in SoCal.

Perhaps I need to set up landlord insurance through the LLC, but it gets confusing since the homeowners insurance already covers the whole property, and landlord's insurance likely wouldn't just cover the MIL. It's

As far as the proof of only 25k goes for the 5 mil, it seems they will leave it up to me if I can make the LOC work or not.

(All I know is that for $1.9 mil...it better be a pretty prime bldg and location...cause 1.9 is San Francisco prices ;)