Is it an LLC, a limited partnership etc...

They do not want to owner finance it and then new owner runs it into the ground and they have to take the property back worth less than when they financed it.You have to be careful on giving full guarantee on  a project if you have limited experience just to get into a deal with owner finance.

Also, always keep in mind your Passive Activity Loss Account, as this can help ease your mind and open up opportunities you may not have considered  

There's definitely cash flow ops, but obviously appreciation is pretty limited. 

If you only have a couple thousand in the bank, you're pretty limited in what you can do, unless you find the alternative financing options that so many on these forums discuss. 

I would recommend you talk to @Tim Swierczek about financing options, most people finance their first property under FHA which is fine however it may limit your ability to expand. 

I am not limiting myself to Washington, if there are good deals in other market areas I am willing to check those out!

@Russell Brazil My initial intention was to occupy the space and make it my permanent residence, however my fathers health deteriorated shortly after I made the purchase, which is why I made the decision to stay with my parents and try and rent the apartment out, rather then sell and take a loss.

Also, what's the best way for taxes, should we set up an EIN to file or can we split (50/50 partnership) the profits/loss on our individual returns?

Hey @Paul Zackey and @Alex Cornwell,I have Limited experience, but I know a few contractors who do it (I cant personally reccomend) and a mortgage officer who is very familiar with them.