For rental purposes, it would be nice to have separate water connection for each unit.

My post was written for informational purposes only.

HI Leland,Ultimately, it depends on the loan product you're using to qualify with but for the purposes of conventional financing then you will need min 1 year tax return filed with the self employment income and to document your past track record in the industry doing pretty much the same thing then you can probably blend (using worst case) numbers to be conservative (yes thats how underwriter's are).So for instance the s corp income is 100k but your W2 prior was 125k, dont think they will use 225k (100 + 125k) and divide it by 24 months they will probably take your 100k / 12 months = 8333.33 and apply a max 45% DTI to that 8333.33 which will give you a max qualification of 3749.99 per month max payment (all debts included).Most banks wont take the above 1 year tax return it just depends on your situation.

My criteria will be out of state absentee owned for at least 7 years or longer for equity purposes, older owners within Marion County. 

It's certainly leaving a lot out though. my agreement is 20 pages, and didn't' take that long to build, if you want to practice how you play, I would suggest getting an actual lease agreement and modifying it for your purpose.

@Andy Mirza I'm wondering if you could still use a Special Warranty Deed and put language in the deed that states the purpose of the transfer and that specifically says it is NOT arms-length?

The whole purpose of a LLC is to limit your liability, as it is disregarded for tax purposes.

Please comment below so that we can be aware of the practices and help our clients avoid losing out on their hard-earned money.Do your research, stay safe, and have a purposeful day

I'm about a week away from forming an LLC for the purpose of flipping when I just got off the phone with the Vice President of a prominent bank in my area.

The short answer was to form a 501(c) 3 with a broad purpose and use it as the board sees fit to do the good that they see most needs doing.