It sounds like sh*t construction that they're trying to get a grip on.

SETTLEMENT COSTS: Buyer agrees to pay all settlement costs and charges including, but not limited to, all Lender's fees in connection herewith, including title examination and title insurance fees, loan insurance premiums, all document preparation and recording fees, notary fees, survey fees where required, and all recording charges, except those incident to clearing existing encumbrances or title defects, except if Buyer is a Veteran obtaining VA financing, those prohibited to be paid by a Veteran obtaining VA financing,which prohibited charges shall be paid by Seller.

I think you will find that our current circumstances has created a very opportunistic time to obtain a better return on your investment by purchasing single family rentals.Overall effect of Coronavirus:Vacation & short term rentals have seen a decrease in demand as fewer people are traveling.Interest rates have hit all time record lows allowing for the best financing terms to lock in 30yr fixed rates that we have Never seen before! 

Originally posted by @Lydia T.: THANK YOU!!!

Once that is out the way how should I setup my taxes in a way IRS won’t bother me...do I need to setup an actual business ( LLC ) obtain an EIN or just get the EIN alone with a business bank account??

Throw out all that stuff about the t-note and MBS.

Require your pet owning applicants to obtain renters insurance with a minimum of $500,000 of liability coverage.

@Brent T Galbreath are you looking for rental ready property to hold, BRRRR's, or Fix n Flip?

Permits can be obtained after the fact in emergency situations like this one, as previously posted.NOTE:  Be sure to play nice with the city inspectors of the repairs to un-condemn the property. 

Most likely way you obtain a total loss on the house is through a fire.....In addition the $300,000 in liability coverage is to protect you should a tenant die or get injured on your property and sue you because of it.