John Ferrara, while it may sound (and even be) complex, your accountant has suggested this for a reason: it will allow him to properly allocate income and expenses in order to prepare your returns for the various entities.

Today, there are real estate agents that specialize in those industries and can help you get the experience you need to do it right the first time.

Josh I have talked about this many times.On the residential side all these scammers used to exist.Sell the loan off so they didn't care and closed up shop when it fell apart.Now that residential is under huge government regs they have all moved to the commercial side.All of these people advertising many are just helpless point and fee takers getting sucked up into the scam.Many of these so called lenders are not lenders at all but mills running due diligence fees,insurance fees,deposit fees etc. and then say they can't fund later on to deny the deal.I have found direct lenders are very hard to find and I find one of those for every 20 scammers.As a buyer you do not pay upfront fees except for appraisal,survey etc.You can talk to these scammers on the phone and can tell by what they say they are not a true lender.I do very heavy lifting to make sure my lenders are real and I am not dealing with a middle man to protect my clients buying properties through me.Any company claiming to be a lender that will fund anything is more of a conduit (middle man) taking fees.A reputable lender will display recent closings and details of the loan.They will have very detailed rate sheets along with terms and conditions of the program.Any points will only be paid at closing when they perform.Many of these lenders will be highly specialized in a particular asset class and not broad in scope.The interest rates from legit lenders will be very close in percentage rate and LTV's.The difference being in how much money they have to lend and what loan size they specialize in and recourse versus non-recourse etc.Many lenders can promise but very few can deliver on the rates promised and close it.

You might check out Mark Kohler's web site and radio show - Tuesdays at 11 Pacific. markjkohler.comHe's an attorney and CPA who specializes in RE investing.

The escrow company or attorney will contact the deed holder (not you) in order to get the full amount due to pay him off in full and they will prepare a deed for him to sign.

I just want to know if there is anyone out there in the Chicago area who specializes in this area and could possibly offer some mentoring advice for a guy just starting out?

Additionally, if the Seller has any equity in the property, you will need to be prepared to pay the difference between the mortgage any market value if any.Because mortgage rates are so low, it may be a better idea to just purchase the home under a new mortgage and have them pay off their USDA loan.

I think I would have been freaking out had it not been for that specially designated reserve.

I'm not a Doomsday Prepper and I don't have a "bug out bag", but I like to be prepared.

Go in prepared and be ready to switch the strategy quickly if your original offer didn't work for the seller.