Monthly payment is $450, more than we would like to pay.

Thanks What specifically are you wanting to know about the area and what do you plan to do with the property? 

Sounds like you have a great plan. 

But, you could face limits on deductions and miss out on some tax planning opportunities if you do that as well.If this is a one-time deal, doing it as an individual might be easier.

If you plan to keep it, and your seeking long term debt the lender will require a full appraisal.2.)

The building was built in 1965 and was remodeled in 2011.Seller is asking $300,0004 units - 900sq ft each - currently rented at $700 per unit - Tenants pay all utilities except water/sewer which averages $250/month.Insurance is $1,600/year and taxes are $2,600.It makes sense as far as I can tell.

There will also be accounting/bookkeeping that will need to be done for the LLC, you may have to pay for that also, as well as a corporate kit.Or You could wing it and try and do it yourself, if you think you know enough to make a good decision without expert help.Good Luck!

I plan on purchasing with cash. 

Question is should I pay off the down payment loan (7/1 ARM) early or put that money into savings and just refinance the ARM at end of the term?

If you do, AND you are paying utilities, make sure those are energy-efficient appliances.