Fannie/Freddie (Conventional) loans aren't just about rate and transfer taxes. 

Should I wait for Spring for greater inventory, or for lower rates to see if cashflow improves?

At any rate it is possible, but depending on your appraisal it could be a gamble

Raising your credit score will get you far better rates personally as well as with private lenders for your LLC. 

Higher inflation equals higher interest rates. 

Yes, you can drop the price, but then the numbers don't work.

It wasn’t how I wanted to kick things off, but I worked with a contractor to get the bathroom fixed and functional.Once that was behind me, I focused on improving the building and maximizing income:I installed a shared washer and dryer for the tenants, a major upgrade that added convenience and increased the property’s value.I rented out the two garage parking spaces, bringing in consistent revenue.I also raised rents for the second- and third-floor tenants I inherited to be just below market-rate.

I've seen many investors get burned because they failed to understand their hard money loan terms/rates, even if they did acquire what should have been a home run deal. 

I've also held of holding properties in individual LLCs that are owned by one S corporation, which allows for a 60 / 40 split between ordinary income (regular tax) and dividends (capital gains tax rate).With the goal of minimizing taxation and liability protection, what would be the recommendation from more experienced people here?

In San Diego at the current rates for a purchase loan (which has better rates than an ADU additions) at high LTV, I show 1% does not cash flow on a sustained basis.