It never ceases to amaze me how these questions immediately expose how inexperienced and naive these folks really are.

It’s a little hard to visualize, is the 2nd floor patio door lead to a covered patio, or is it fully exposed exterior wall?

For better limited liability protection, incorporation may be more tempting, particularly if management activities expose you to greater risks, such as litigation involving employees.

This is not a situation I'd risk exposing my child to.

You need to accept the fact that as an investor, you will not be exposed to all areas of real estate and gain extensive experience in a few years, unless you actually take the professional courses and obtain actual field experience in various areas.

I owe a lot of my success to that college roommate who was tired of renting -- without his push I would have never been exposed to this world. 

Theres tons of resources about finding lenders and investing with no cash if thats the route you want to take -- but you can also start out with wholesaling as well which requires no large sums and can get you exposed to great deals as well.

In other states, attempting to "help" homeowners in foreclosure (or in imminent danger of default) can put you into the crosshairs of an attorney general or worse, a DA.I've enjoyed being part of personally exposing scammers that prey on people to strip them of the equity in their homes.

If not block is required you just need to cover the exposed home with hardi panel or vinyl siding.

David, rental income is passive income.Placing your rentals into an S-Corp usually doesn’t make sense from tax standpoint because you will be exposing all of the income to SE tax.If you have a portfolio of rental properties that you do manage yourself - you could set up a property management company and charge PM fees, this income will now be considered “earned” and eligible to contribute to a retirement account.