You will need to set up the loan principal as a liability account and record the monthly payment, the principal portion will reduce the liability account and the interest portion as an expense.

If not, what are other creative financing types that do not require income verification (or limited verification)?

The rental market is okay, just very saturated due to the limited supply of homes for sale.

Wouldn’t mind having some higher limits as Redfin/Zillow doesn’t report much good for 1M.Maybe that means I need to get something that needs more work.

Worse case you can furnish it and put the property on Airbnb or peer space as a venue space or STR in between long term tenants.Using an agent or property management company to at least get it rented could really set you up properly.

Courts are loathed to allow someone to lose title to real property for failure to pay property taxes and will readily set aside tax deeds for cause. 

Question two: I know I should get this put into an entity like an LLC, maybe even Wyoming LLC, but should I spend the money to set this up before I complete the purchase?

With more and more banks limiting on how much money you can send or move, who are you banking with that you like.Wells Fargo and NFCU are off my list. 

Judgement - ExecutionIf you obtain a garnishment it is likely to be limited.

Most (including us) are going to have a lower-end limit of $100K.