I'm currently Active Duty Air Force and will be getting out this December.  

This has no tax impact to you and if you sell the house right away, you do so with no capital gains taxes.  

I'm looking to buy a house that my mother in law lives at for now.That house is being forced to sell so I figured I would buy it as a rental and let them stayThe house is worth about 130 after repairs And needs about 40 thousand in work.I might be able to grab it for 70Any advice on where to borrow for that kind of deal ?

It will force us to take a more hands-off approach to managing the property, which I have heard is a good habit to get into.

As a buy and hold investor my credit score has a big impact on my business. 

There are going to be turn key investors that want a property that cash flows from day one with little effort form them, then there are the investors that want to force aprreciate the propty by fixing it up raising rents etc...

The person needed to go into a nursing home and medicare was forcing them to sale their house.

Millenials would like to buy homes, and will when they can.The bad news:  That may be a while.The impact of the recession on their savings rates and credit, plus the massive student loan crisis, may mean that this generation will never fully catch up.

I just personally took a look yesterday and I mean in my opinion the fire damage is what will most significnatly impact the rehab costs but it is also the strongest leveraging item in the buying price.

For more information, see Publication 946.The following items increase the basis of property.The cost of extending utility service lines to the property;Impact fees;Legal fees, such as the cost of defending and perfecting title;Legal fees for obtaining a decrease in an assessment levied against property to pay for local improvements;Zoning costs; andThe capitalized value of a redeemable ground rent.Deducting vs.