My primary goals is to create some passive income through rental properties, either single or multi family homes, to start building wealth to secure my financial future and stop working full time to have more time to pursue my passions and enjoy life with family and friends. 

I think my regular loan guy quoted me 20% down and 18% interest rate to get funds for rehab a while back.

Most investors rely on hard money lenders to secure non-homestead/investment properties. 

If you are going to live in this unit this will be regular conventional loan even though this has higher investor ratio. 

My plan is to secure a 3 or 4br on an FHA loan as an owner occupied.

Events like that rock your sense of security even though they have a very low likelihood of reoccurring.You might want to ask the police their thoughts on your best course of action and/or responsibility.We've had garbage like that while occupied by the loser tenant, but not after. 

Loan qualifying and appraisals aren't going to be an issue, unlike a regular sale.

I gave them a 1 year lease with no raise to their low rent. ( I know - dumb).now that it’s up I’d like to raise rent And offer them a 2 or 3 year lease so I have security. 

@John Vietmeyer show the underwriter your signed lease and that should satisfy them to allow you to start a regular policy.Underwriter don’t want to be stuck with a property that will be vacant for months but they do understand the realities of gaps between tenants.

My primary focus is to great passive income and too secure Financial freedom so I can enjoy the time I’m given with family and friends.My main focus is buy and hold rentals (single family, and multi units) but wouldn’t be opposed to a fix and flip or wholesale, I personally think having some of both helps with an exit strategy depending on the market.