Out of curiosity apprx what percentage of loans are issued to w2 employees vs self employed/small biz owners?

The best option for you depends on a number of factors including your exit strategy, any liability concerns and preferred tax treatment.Type of EntityTax TreatmentMain AdvantagesC-CorporationDouble TaxationCorporate tax rates are lowerS-CorporationPass-throughSelf-employment tax savingsLimited Liability Company (LLC)Pass-throughLiability protection and flexibilityFuture Outlook and Recent Tax Law ChangesMost recent tax changes applicable to real estate investors include:The increase in the estate tax exemption to $13.61 million per individual for 2024.

That's likely to lead to them referring you to a potential employer.

Read the post above and use common sense.

I would think this is a common practice that lenders perform, but if not....message me.

Are there any common pitfalls I should avoid?

While a deposit is almost always preferable, you should make a common sense business decision based on the circumstances and condition of the property, in my opinion.

His recommendation was to setup title with two trusts as tenants in common.

I dropped Revere Pewter and have mostly used Light Pewter as a common color in the house with kitchens and bathrooms being something colorful, usually blue for kitchens and green for bathrooms.I use HD Behr Marquee which is around the middle of HD paints in quality.

So if you are still uncertain, could just make a lease with employer and give that employer rights to sublet to the person, thus your lease is with employer and there on hook to you, and they can deal with the person and all that liability.