To that aspect, what about a different two-LLCs approach?

Realize that each little problem is made much more exaggerated by the producers to create "drama".Realize that they often gloss over very important aspects like permits, extra costs of closing deals, etc.Otherwise, most are a reasonable facsimile of what rehabbing is like and they do point out some important pitfalls that many investors run into on a typical job.

No, I have a high comfort level and am well acquainted with the good and bad aspects of rentals in my market.Branching out to other forms of investing will eventually be funneled into additional buy and hold investments.

A property that hits a 20% return on paper but ends up needing repairs to keep a tenant inside can deminish returns quickly.Another aspect is that slumlords tend to look only at cash flow, the value of the properties is low and to keep the same or highest return, repairs are not made as they don't generally payoff immdeiately.

One aspect of these blocked loans is that they are on an average yield to maturity (WAM) and in order to meet block requirements, rates may be lowered at times to complete placements predicted.

And, it turns out, he operated a plumbing business here for about 20 years, doing all aspects of it.

I love the aspect too of physically being able to go and look or work on (In) your investments

My questions are more around the process of finding a tenant and the legal aspects of the lease and the mechanics once I find a tenant.  

If you're going to live in the home, then you will have other personal influences to value, intrinsic values and personal financial aspects. :) 

@Jesse KindraHave you been busy with the administrative aspects of the rehab?