The general idea of it that i have is if a property needs to much repair a traditional bank will not issue a loan for the property so i can use a private lender to buy the property and then rehab the property and then refinance the property with a traditional loan. 

Quote from @Christian Dozier: hello I just got a rental property and its leased out for this next year. is it bad to sell with new tenants?

The issue with this formula is that it is significantly more work than a traditional rental.

Maybe for short term rental, but definitely not for traditional long term rentals and multi-family.

I want to know if any can help me in understanding how is the closing of a MHP, with units a part of the deal, different from a traditional closing?

After meeting with the head of the investment side of the company this morning, he offered to lend us money as a traditional lender or partner up with us as a JV, both with better terms than the previous lender we were working with.

Traditional financing is harder with low income properties; each has such a low price that it's not worth the banks time.  

A brokerage like KW is about selling property, not employing investors looking to make money that way (as opposed to traditional representation of buyers/sellers).

This is not rent to own at least as what it is traditionally understood to be.  

To summarize, spending your rental cashflow instead of saving it like you have been will have no bearing on your taxes, provided you weren't putting some in a traditional IRA or something.