The app doesn't allow rent by room, so I am sort of forcing it.

He's still very much in contact and reachable, but my biggest fear is that he will run or file some sort of Bankruptcy.

Sort of same situation but the home was not in that bad of shape. 

He is the best but his ability to fully understand some of these newer business 2.0 concepts sort of escapes him maybe a little bit.

Which gave me some sort of confidence.

It’s a bit of a tangled web, but if you need more info on it, do your research first, and then you can contact me to help you sort out the current rules. 3) The tax benefits are severely hampered if you there is any money from your original property that doesn’t get spent on the replacement property, so it’s best to purchase a more expensive one to avoid losing those benefits.4) It is imperative that you do not receive any money directly from the sale of the original investment property.

Karma will sort it out. 

If it's a layered LLC, most lenders will need to trace a warm body on the operating agreement which will involve a bit more paperwork trail.

I'd like some input on wrapping my head around a potential first house and if this sort of deal/rent makes sense.

Geraci charged $500 to sort it out and helped me fill out the Lightning Docs online template correctly.