I have a potential pre-foreclosure deal and I need help to know how to structure the deal.

Anything you do that increases the footprint of a residential structure requires substantial permitting, and inspections. 

The guys that work on those large upright rigid structures of steel at a refinery.

Since I have not physically seen the house, I assumed that with all the units already renovated the rent would be about 1100 a month.  

Below are cliff notes that provide a timeline of the issue. 10/2018- I buy and close on the unit after it passes inspection. 11/26/2018- After a rainy week in Washington state, I notice some dampness in one of the rooms that shares a wall with the outer structure.

Call a business attorney and ask them questions about LLC and decide if you think it’s worth it and how it should be structured.

I am mainly interested in the best way for Sibling #1 and I to structure this loan/transaction.

Trying to figure it out what are the best methods to take in consideration before physically go to see it.

We don't give our tenants a "walk-through" list of steps to take, but rather, we either go physically ourselves to the property or call up our local handyman to check the basic things before we call in expensive electricians or plumbers.

Thanks all for the kind words of encouragement, @John Fedro The way that I structured this deal is as follows: Tenant buyer put $2000 move-in fee and $725/month for 96 months.