It has lead to my first 2 deals and I currently have another short sale under contract for my 3rd this year.

Now the short answer is, unless you clean every square inch the property is still contaminated.

Of course they are a day late and a dollar short.

I have set short term and long term goals to get rid of the debt, I will get rid of most of it in the next year to year and half.

That way, if anything major is discovered, you'll have time to assess the situation and obtain additional inspections from other specialists as necessary.

hard money is short term money... and expensive.. not intended for periods of over a year .. interest and points will kill any cash flow investment. 

In short, the funds need to be separate, but you can jointly own property in both SDIRAs through Tenancy in Common.

If you think you will go FHA, Conventional, 203k, etc. and then Quit Claim the property, to a LLC, or a Land Trust you run the risk of the lender discovering a Title Transfer occurred and activating the "Acceleration Clause" or "Due on Sale Clause" that requires the loan to be paid in full, within 'x' number of days.

I don't know how to do that other than short sale so if there is something that I don't know please let me know.

Have been reading a ton of books, listening to podcasts and have discovered Bigger Pockets.