I have seen several investors or even folks beginning any time of business fizzle out due to spousal pressure. 

I'm in NY and insurance companies licensed to operate in NY may not be licensed where you are.Also, I own rentals and engaged in several other businesses, and it's best to know and use an experienced insurance broker in your area, preferably a local one.I once bought a business for someone who had his business in an S Corp., didn't realized when his business get sued, lawyers normally sue the entity and the owner personally as well.

Michael Dunn the debt on the house is considered and most lenders will allow you to claim 75% of rental incomeSome require 24 months of rental history and others have shorter time periodSpeak with several lenders to get the skinny from them

I know they've loosed the sources of down payments over the last several years but using debt as a down payment used to be a no-no.  

Another building in the neighborhood (same style & plan) is listed for $300,000.The neighborhood is near a new stadium (Atlanta Braves), several employers and shopping/restaurants, but is just outside the city proper.Thank you so much for all your advice/help!

I have several connections for contractors but would like to hone in on the scope of work to give you someone qualified for it.

If you have a job, but wife doesn't, she can qualify for RE professional and deduct beyond the 25K loses, and might be able to get a salary, establish Solo 401K and health plan, etc.  

-there are several apartment complexes nearby.

I subscribe to several wholesaler mailing lists and recommend my buyers do too. 

I have thought of several of those things, And several I haven't, but the main thing is the partner will basically just be a "Lender" and I will do all of the grunt work.