As a landlord, I verified the work needed by pictures being sent, and arranged for a contractor to go in person who is licensed and insured to give an estimate for the work stating to management company this would likely have to come out of a security deposit.The management company was initially asked prior to me arranging this appointment with contractor, to have someone professional quote the damage, and they disregarded my wishes and without my knowledge, or notifying me, granted consent to the tenant to fix the door " in any way they see fit, and to attempt to fix it themselves to the degree of their liking." 

Should the tenant arrange for it and pay for it?

A common structure is either a debt arrangement (where the investor loans the money and gets a fixed return) or an equity split (where they share in the profits).

(Note that this is the typical arrangement for Airbnb rentals and other temporary rental-type properties.)Rental property used on a transient basis is depreciated over a 39-year period, not over 27.5-years as is the case with longer-term residential rental property (LTR). 

If your goal is to grow your LLC, consider arranging all of your properties under an agreement with your LLC to manage them & take all of the legal steps to ensure that the structure is correct. this may involve creating LLCs in the state(s) your LTRs are in to own the property and your PM LLC managing those properties, so that you don't have a concentration of all of your portfolio in one entity.

A SFH could make sense as a house hack if you found one that has an in-law arrangement but otherwise I'd say 2-4 units is the way to go.If house hacking doesn't make sense for you & your family, you'll likely need 20-25% down for an investment loan to buy & hold a property you won't be living in.

All gov can do, under loss mitigation laws, is give home owners extra time to scrap up some money and make some sort of arrangement to resume paying their loans.

But the way you have arranged the owner financing, and build costs, followed by refinance…this is a repeatable model for you.  

Think uber/lyft driver contractor structure.But the call center staff who handle the important stuff like leasing, arranging repairs, etc. work overseas and likely do not have intimate knowledge of your rental area.That said, I’m not bashing this model.

If you're interested, we can also arrange a property tour to help you get familiar with the area and see what’s available!