Certainly nothing wrong with it and it can open up a lot of opportunities, but usually people who have the know-how to do it on their own aren't as much interested in the turnkeys (I happen to *not* be one of those people who know how to do it on my own, lol).Any any particular markets of interest?

As @Don Mainke mentioned above, some conversions aren't split out and the only way to do that is gut the property.

You could have made the contract contingent on the vacating of tenants, but if you didn't, there aren't a ton of options. 

I know I can personally do better in the stock market or peer to peer lending with those rates.So I've been talking to a couple buddies out of state (OH, MN, ID, etc..) where the markets aren't as crazy as the greater Seattle area.And I have been baffled by how cheap the prices are and have run some calculations which provide a way better returnI'm under no illusion that I can ask the same rent prices they do here in the Seattle area, but am gathering an average from other rentals in the area.The problem is, that OH, MN, ID are not around the corner and driving over to check out the property to see if things are still alright is not an easy task.How have you dealt with buying property out of state?

It is very possible that the foundation issues aren't a huge deal, but no matter what you need to make it a big deal.

Sales meetings aren't trainings, regardless of what some managers will tell you.  

Those who do mind or don't follow through aren't worth renting to.Good luck!

If you aren't coming around an unreasonable amount of time, you are fine I would think.  

The majority of bank owned/REO/Shortsale homes on the MLS in my area aren't really a good deal for a flip investor. 

As long as your the only person in the LLC, the LLC is taxed the same way you are, the IRS recognizes the LLC as being just you so you aren't taxed differently or more heavily.