In most investments like these, the investor is completely removed from the asset, the management, or the operational perspective of the investment.When you invest in syndicated investment, the syndicator/sponsor will handle all aspects of the deal such as, due diligence, locating a profitable property (or properties), hiring and managing the property manager, sending out quarterly reports, implementing the business plan, handling investor relations, and so on.

Clark Street Capital has an AWESOME report they put out bi-weekly, and it gives super great insight into the commercial and residential debt markets.

If I spent money on it (say 1-2 months) before it becomes rental property, can I expense it for tax report? 

Our household income is about $13k monthly after taxes and payroll deductions (health insurance, 401(k), etc.)My wife and I have never been particularly fiscally responsible, although we live a fairly simple life.

Also, can you take the inspectors report and use it as a basis for your SOW?

But as you and I discussed that could also be in the form of a disregarded LLC because that does not change the tax return that reports the activity of the property. 

This was done by any of the following; a statement showing the down payment transferred “outside of closing”, funds transferred to the title company as a down payment but actually from the seller, the seller “purchasing” another asset from the buyer for a heavily inflated price, the reported price being in excess of the “real price” with the seller taking a “silent” second, and something known as “disappearing” earnest money, “paid” directly to the buyers attorney.

I haven't used any of the reports for the accountant, yet.

Talk to the person's section 8 person and report her.  

It can be exhausting trying to get this information yourself via the internet when so many "sources of information" offer conflicting reports or just blatantly try to push you through some sales funnel without bothering (or caring) to address your actual concerns.