I was already considering putting up a wood or vinyl fence to create a decent outdoor space for my tenant but that will only block the sight in the back. 

Hi Alex,Picking a lender can be an important decision, but I'd also recommend using 2 or 3 good lenders for a certain space.

Receiving payment in exchange for space is considered income.The good thing is that you likely have expenses to offset the income.Best of luck

@Mark Fitzpatrick, The 1031 can only be used for the purchase of real estate. 

Quote from @Mark S.: @Nathan Gesner Spot in - I’ve asked the same question in several forums (give me an example of a successful lawsuit where proper insurance didn’t take care of it) and no one has been able to provide one.

@Elizabeth Nolan, I certainly don't know your area, but I only see two items on your list that could potentially add any real value.Patio space: this only applies if there is not already any type of outdoor living space.  

no pacific north west investing.and PM companies around here are 8% with 50% lease up if you're in residential space and around 6% flat for multi family oriented PM's 5+ units.AIO is for primary and secondary homes only (not for investment properties).

I am brand new to investing but looking to take action preferably in the multi family space .

Most basements get water in them at some point in my experience and I see “inadequate drainage”, “negative grading”, “recommend extending downspouts” etc. on most inspection reports.We had a property with a humid crawl space basement and set up a dehumidifier with a hose coming from it to a floor drain so that we didn’t have to keep emptying it’s tank all the time.

In the commercial space you don't have the protections you do in SF residential.