If it is worn or stained, yes, put in new carpet.On the other hand, we have had prospective residents tell us that we need to replace this stove or that carpet, and sometimes they are brand new. 

The tax credit is for primary residences and commercial.

Quote from @Jackie Liu: Hello BP member, I'm currently doing my due diligence on a potential prospect, during my search of the prospect's current residence I'm finding some information that does not match what was on the application.

Are there other good channels to find qualified tenants?

However, if you decide to sell after holding the property for over a year, you could qualify for long-term capital gains tax, which is lower than ordinary income tax.

Get thee to a qualified real estate lawyer.

It seems like the goal post keeps being moved, and technically with him gone, she does not qualify to live there anyways. 

I have tried going through the conventional route of HELOC and Home Equity Loan for my primary residence.

Every adult residing in your rentals should be screened and approved by you.Criminal history is not an automatic denial, but you should definitely consider risk.

If possible buy 3-4 unit properties as you should be able to apply 75% of the income towards your DTI to qualify for the loan.