. $1m purchase price $100k down $900k  @ 5% for 15 years is $7117/month or total payments $1.281M$1.29M purchase price $100k down $1.19M @ 1% for 15 years is $7120/month or total payments $1.281MBasically both examples end up the same $$ but taxes for seller could be reduced and the buyer gets more depreciation but less interest deduction yearly and a higher basis. 

The simple interest and principal still add to the monthly payment, but the banks are making more money (a lot more I guess) by deducting the interest first.

I didn't charge them rent for July, even though I could have.All things considered, would you hire a truck mount carpet cleaner and deduct from security?

A partnership issues Schedule K-1 to each partner annually and you'll include your distributive share of income, deduction, and credit from the K-1 on your 1040.The other property will be filed directly on your 1040. 

So since rental cash flow/income is taxed by the IRS, would I be able to use my renovations cost as a tax deduction?

Are the tax write offs at the end of the year worth more than $354 (you might actually be cash flowing after depreciation and tax deduction considerations). 

You need to understand the risk/advantages of different options in coverage/deductibles that are offered for your situation. 

So take your gross scheduled income (in this case $2.6k-$2.8k) and then deduct your fixed and variable expense estimates such asRepairs and maintenanceVacancy and non payment of rentCapital expendituresProperty taxesUtilitiesInsuranceProperty Management

One insurance company said their deductible for hail is different than any other claim so the $1K deductible for say a fire, is now a 2% deductible of the total value of the house insured amount. 

Depending on how you use the proceeds will determine if the interest related to the additional  mortgage balance is deductible for tax purpose.