The seller seems to be pretty loose with everything, which tells me you may be facing some tenant issues when you buy. 

Look at IRR, you will loose money over time, even though it may seem to work short term. 

As temps drop heat pumps loose efficiency on the first stage of heat and have to fire the second stage in your case that’s the electric heat.

It can also change the opposite direction and you would loose money. 

Repairs and maintenance are bound to happen regardless, the choice of tenant and how well they're managed is what we can control.

I believe each member of the LLC will need a K-1 to include with your individual tax returns, but you'll still calim all the profits/looses of the LLC on your own tax returns.

They dropped off deposit same day and they are chuffed.The other candidates were also really wonderful (granted, not as strong as the first people but still leaps and bounds better than third place candidates), so we offered the other side of the duplex to them. 

Frankly, I prefer the idea of being a silent investor, it's just that every offering memo has the disclaimer about, blah,blah,blah, being an accredited investor and "...you could loose all your money..."

@Ryan Berg Yes, pretty much break even or loosing money.

@Dale Miller  FHA, VA and USDA appraisals are far more difficult than for a conventional loan.Appraisal for a conventional loan is looking for the value of the property and to ensure that all major systems are functional - water, sewer, electricity, heating and AC.FHA/VA/USDA does the same, but will also fail for anything that can loosely be interpreted as a health or safety issue.