Luckily I have a friend who does design/build for restaurants to help at least guide me on the basic steps for the renovation so I am not flying entirely blind there.  

This way, if the roommate wasn't really meshing well in the house--but didn't do anything that you could legally evict for--I could simply give a 30-day notice to vacate.

I'm setting up two LLCs with one for the flips and one for the rental properties.The flips will be an S-Corp exactly as you said to try and make room for some of that income to be taxed at a lower level.Having the separate LLCs is necessary not only for legal protection, but to keep the accounting separate.

@Ryan Canfield to get another FHA loan for increase in family size, you have to provide evidence of increase of legal dependents, and the LTV on your current primary that you are vacating must be 75% or less.

To legally protect yourself you need to stay the course on the eviction.

No legal advice given

If it is 15% down they could get a lot of money from you upfront and then get full recourse against you selling at an inflated price.One scenario non-recourse you learn on the property and then hand it back with minimal losses if it turns out to be a real dog.The other situation is they have full recourse against you on the loan, they sell you an inflated price, you put a bunch of money down 15%, and now they won't let you out of the dog of a property and every waking day you are dealing with problems.Owner financing can be great if set up properly.No legal advice given. 

There is no way I can run my business while designing and building the next gen most advanced exoskeleton suit.

I own a condo designed like this and all doors that exit into the hallway are fire rated. 

In other words DON'T hire an attorney and keep your day job for entity legal issues and those pesky tenant lawsuits than will come up.One secret of the rich and wealthy is corporate credit or business credit based on an EIN instead of SSN which drives commercial financing deals.