I know that the more EMD you put down, the more serious people take you, but the 10K request is out-of-the ordinary.

That ends up being a big time waster as I check out stuff that isn't even close to what I asked for.I don't know if it is because they don't listen, or if the majority of people simply can not tell the difference between a good deal and an ordinary price on an ordinary house.I've had agents try to tell me that the $275,000 house they are showing me is just the same as the $200,000 price range I asked for because "the payment is almost the same" (maybe in his checkbook.

And that means ordinary income tax and in your case probably self employment tax and the ACA 3.8% surcharge. 

If you can add an easy room (study, den, patio, etc), add easy square footage, or get a property that needs sweat equity, this allows your to continue taking the new earned equity out, and redeploying it for future investments. 

It’s a community of people that believe in “using ordinary garages to live extraordinary lives.”

The property is turnkey-key ( buying from a homeowner) and has some nice features like a patio and fireplace, and it's 300 sqft larger than the other 2BR in the area (1400 sqft- where other 2BRs are at 1000-1050).

No and yes.I can always, always contribute to a traditional IRA from any source of ordinary income (passive or unearned income cannot be contributed).

This is called an installment sale.You will recognize gain taxed at cap rate and the interest income taxed at ordinary income with each payment. 

@Aaron Hunt I would agree if this were an ordinary theft with an unknown person committing the crime.

I am sure to do it in exactly 12-months and one day so these profits are taxed as capital gains versus ordinary income.