If you or a hypothetical tenant in your town are unsure, you can voluntarily request a fire marshal inspection from Eugene's fire department, in which case the landlord wold presumably be compelled to comply even if the tenant accepted the condition of the property at move-in.

Egress point is necessary from the bedroom.. so if it's a studio,, you'd need a egress window in the unit, another exit, from basement is always good option.House hack and live in basement is an option.. but legally if someone ever was renting down there and had a fire / emergency / was injured  they would OWN you.Also Extremely likely that when your building is inspected / for rental license renewal the person doing inspection is gonna want to see the basement.. only a matter of time until they figure out what's up as a additional living space and you'd be required to comply with what ever they want corrected or face fines and rental license revocation. 

Will you have to comply when the unit becomes vacant.

That said, what's even more important than having a LLC (at least initially) is to have a purchase and sale agreement and an assignment clause for wholesaling that is lawful to use in your jurisdiction.Many wholesalers just grab free contracts online without making sure that they comply with their jurisdiction.Good luck in your journey!

I've given her a six month repayment schedule which she agreed to, but has not complied with.

So,get the landlord policy.Now, if your area has some inspection program, then you should comply with that.As Steve points out, you're working at a loss.

My lawyer was wrong and we had to comply to full blown NMLS rules.. which is OK I am NMLS mortgage banker.I made one post on BP about just having a NMLS RMLO do my paper work in Nevada and promptly got a letter from their division of finance. state what you just said.. need license brick and mortar etc.And CA I have been HML in that state since early 80s also can quite guarantee you need to be a CA RE broker NMLS or CF to do any quantity of loaning or broker of notes to folks that live in that state. 

Make SURE you comply with YOUR obligations whether it be with the current MTM tenant or new tenants.

They agree to comply and keep the property in good condition.

The loan is either for a consumer purpose (i.e. personal, family, or household use) and must strictly comply with DF and so on, or it's for a business purpose and does not.