Perhaps this won;t be an issue if LLC is taxed as a corporation (self-employment taxes will be not applicable) if for this or another reason the LLC is flagged as a dealer?

Banks wont usually have this because their employees are paid salaries to work at the bank.

They'll destroy that newly renovated apartment; they'll sell drugs out of your apartment; they'll steal the appliances, they'll move in 10 of their best felon buddies, etc.So, while it is possible to do some good, that is strictly a side issue.

Also, what if I need to hold it for 2 months or more while repairs are being done, wont I have to get financing to pay off the existing mortgage ?

Buying a note wont get you control of the property Also - approaching the homeowner is your first step here.

IF they did that, they would destroy what's left of THEIR 401K.

I am very hesitant to just put an offer in since I have no idea what it will take to fix the place up and the last thing I want is a property that I paid to much for and wont be able to profit from.

They wont call back for a paycheck?

Asset managers dont want to work with inexperienced agents who have never even done a BPO, let alone who are broke and wont pay costs for reimbursement.

When people who supported you offer the slightest voice of dissent - destroy them.