I've been in business(incorporated) for over a year, and have $60,000 annual revenue as of right now.  

I've been in business for over a year now (incorporated) and have $60,000 in annual revenue as of right now.

The MLS is where homes go for retail, so you may want to think about incorporating that into your exit strategy as you start getting properties under contract 

I thought that maybe i should purchase the home as an investment property, lease it back to them for two years and then sell it to them once they are financeable on their own, but am not sure how i would incorporate their down payment into the transaction.

200sq room above garage that has two closets and door with stairs that go into (incorporated with) the house. previous owners used it as a sewing room) No heater in there.

Perhaps you're in a high paying field or have gotten way better than the 2-4% that is the norm in corporate America, but that approach just won't work for many folks.

One question I have is how to incorporate depreciation of fixtures (kitchen, bath, floor) and furniture (including curtains, etc).

CA is a high-tax jurisdiction so many small business owners incorporate in Nevada, Wyoming, etc.

Your title should match the title as described in the article of incorporation under the list of officers.

For the 1099, check if the plumber is incorporated, as payments to corporations are exempt from 1099 reporting (disclosure: some exceptions apply).