This is going to be interesting, but unfortunetly we're probably getting ahead of ourselves because we don't have a solid framework for our plan.

We said no and started laying out the framework that that was an ARV, and home needed a lot of work.

Try to learn the rules and operate within the framework set.

It makes it a little easier to set up (though it sounds like you're not doing the setup yourself), it makes it a little easier to add new LLCs to the series, and it provides a "clean" framework for managing your entities, but other than that, there aren't a whole lot of advantages from what I can tell.

You need to have a framework for an acceptable deal and then go find one that meets that mark.

We offered on a home SF that needed some foundation work and would have been almost a complete rebuild, salvaging some of the framework from the original home and we were looking at $500-600k.

Would be fairly simple to set up the framework. 

You two should really put together a good framework of what your looking for ...Roles, ownership, initial investments, dissolvement options, how you're planning on adding new partners, who makes decisions, etc etc

Why would you put someone in HomeReady for 2-4 unit when it has the same LTV limits as vanilla Fannie Mae, income limits in many areas, standard PMI coverage at those LTVs, wont do high balance, the same rental income guidelines, requires the framework course (which anyone can take anyways), et cetera?

This can be done through Podcasts, Books, and Mentors you find by networking.I'd pick up a copy of Set for Life by Scott Trench as it has a good framework for financial independence, especially for a newer investor.