Property: 4 BD / 2.5 BA 2-story HomeOnline Value: $284k (Z: $292.5k, R: $285k, Red: $275k) less repairsRental Comp Range: $1500-$2100/mo - Most likely $1650-$1750Repairs: $34kActual Value: $250kOutstanding Mortgage Balance: $110kPrevious Purchase Price: $88kRV Purchase Price: $134kHow would you structure this deal to minimize expenses, fees, & taxes given the following info:1) FIL can give transfer property to us given any of the following strategies:    *$0 (gift)   ** $110k (we assume the outstanding balance on his mortgage)   ***We transfer at market rate (quit claim deed adds us to property deed, $110k refi with wife & I assuming all debt, then he's taken off deed w/ quit claim & we pay him 140 payments at $1k month for the equity he has in property w/ no interest).   

It is unlikely that they will offer terms that will put your property in the red when you refinance in 5 years.

Purchase price: $188,000 Cash invested: $17,000 This is a small bungalow up in my town center commercial zone but grandfathered in as legal non-confirming residential.

Also trashed all carpeting and exposed red oak hardwood below.

I'm not super familiar with this area in Illinois but I'll include a zone map to help you find some quick fixes- just figure out he zone specifically and go with a zone appropriate choice(s). 

If you are complacent in your current life then I find it unlikely you will go outside your comfort zone and invest in real estate.

My question would be is there anything negative on the report such as collections or judgements, this is a huge red flag. 

Should have been our huge red flag.

Do you all have any advice on how I can be sure I am crossing all my T's and dotting all I's when it comes to landlord/tenant laws in my area, zoning laws, LLCs and other legal things I should be well-versed in before making my first deal?

Back then, West Oakland was a no-go zone.