Not enough information here to answer this question accurately.Is the home a total loss? 

I got started in arbitrage in 2019.

Engage an investor-focused realtor/broker in your preferred market (this is not a residential realtor) and start 'tire kicking' the market and properties that fit your criteria.

Your financial background is a huge asset, and it’s great that you’re starting locally in Milwaukee while keeping an eye on future expansion.If you’re looking to connect with like-minded investors, the Rental Property Association of Wisconsin is a fantastic resource for networking with rental portfolio owners, accessing legal resources, and finding contractors. https://www.aasew.org/For mentors, funding sources, and flippers, the Milwaukee REIA is another great group to explore. https://www.milwaukeereia.com/I’m a member of both and find unique value in each—maybe we’ll cross paths at a future meeting!

If you are just getting started here in Chicago, house hacking is the ideal situation.

:)General question here: I invest in long term rentals in Memphis, but I live out-of-state in NYC, so I was wondering if anyone had any general advice about starting an LLC in my situation.Would you form the LLC in Tennessee or would you recommend forming the LLC elsewhere?

You will totally get legit bookings from VRBO, etc. and I'm psyched for you when you do!

Can we DSCR out of this to get our money back out or will I need to sell it to get our $136k total investment out?

Over the course of using Bigger Pockets I have had very degrees of opinions on who I should vote for concerning a post.When I first started using Bigger Pockets, I was too naïve to even think of voting for someone that took the time to answer one of my post.  

Any advice you would give to someone first starting out?