IMO this is much too little additional return to put your personal residence at risk.  

They offer a $10K repair fund to fix damages in addition to SD plus warranty for appliance repair etc.I have no say in whom they choose to move in, whether there are animals, limit on # of occupants etc. they reserve right to inspect property so i have no idea if they can tell me to remodel, paint etc.does this make sense i have a vacancy coming up in October (bad rental timing).

Would be great to reconfigure the lot lines on the two additional parcels so they'd both meet the minimum to build.

I’m involved in a private LLC that owns land in which we are asked to provide additional $ for property taxes every year.  

Did you find any additional help or learning concerning over-the-counter tax line investing for Texas?

In addition, you still need to meet the IRS requirements for material participation in each property or elect to group themBased on what you say it sounds like it would be challenging for you and your wife to meet these requirements unless she gets involved in more real estate activities that qualify for REPS hours. ...

Supplement this far simpler entity approach by ensuring you have appropriate types and levels of insurance, you operate your business in a manner in which your conduct is not considered an exclusion in your policy, you work with licensed and insured vendors, you execute contracts with indemnification clauses with these same vendors/ require additional insured status &  maintain appropriate licensing and permits.

*Older systems contained insulation with additives that may oxidize copper wire. 

Your best route might be to buy a 2 to 4 unit property that you can live in and rent out the additional apartments.

So additionally, that there's only 30 days to close and it eats up time for an inspector to schedule time to come.Do you allow inspections of your contracts?