Again I dont know if an LLC would protect his $250,000 in the deal, in case something unexpected happens and I cant make payments.

I am starting out as well and financing is major component in this business.

it is true, a $5k "big bite unexpected" happens. make sure you have ample reserves.

Many times, there are components that are in decent shape, but I'll often replace them anyway.

As @Steven Hamilton II says the land is never depreciated.There are some components of the land that could be depreciated, but are typically not itemized as such.For example:Trees & shrubs have a certain life span and destroyed over timeSidewalksDrivewaysUnderground pipesSeptic systemsParking lotOutside light standards

The best deals are the unexpected one, embraced the "craziness" and you will have some great outcomes.

Ok the initial change especially if unexpected can be a problem.

The plan document outlines all components of the plan (I.e., are loans allowed, is there a Roth option, etc.).

Is this adequate earnings for the lender on this type of loan or am I still missing a component?

But, with a little practice, plenty of communication, and proactive landlording - you'll be looking for as many tenants as you can get- Good luck with your investments - always re-run the numbers and account for the unexpected ( like replacing a HVAC unit..or two) Keep us updated with what you decide.