I’m under the impression this is because if there is any rental income, it will go right to her care, not sure if she would lose the Medicare benefits. 

Just a FYI be prepared for it to sell at a discount,Jay- I have seen people buying land notes for 12%-15% yield which is CRAZY and they are going to eventually lose their shirt once they go into default and the land value is repriced.Thank you for the info.

I assume you are probably losing a few of those bedrooms for living rooms, kitchens,  hallways, stairways etc. if converted from 2 to 3 units.  

I would like to group both of these properties in some sort of limited liability corporation, but I think I lose my tax exemption once it's in the LLC.

The man selling said he knows he will lose money on the deal as the property already appraised for $560,000 but would love to get a young investor like myself into the game since his son did not end up sticking with it.

If I am losing money on LMHA as a landlord then there should be 10x that number of good people losing their vouchers because they cannot stay in good standing with the excess failures the system has at present. 

Good quality of life, good potential for appreciation over time, and an area that is unlikely to lose its draw for young professionals and college students for future tenants.

As an agent with a team we can't work on deals much under 200k without losing money.

And in fairness, not worth doing if you're not making more than that anyway.If he does something like this and it exceeds the SGA (Substantial Gainful Activity) limit he would lose his disability right? 

Quote from @Jose Remor: Yes, you can save $500 by managing yourself, but you can also lose a lot more than that with some rookie management mistakes.