Never seen anyone do it or talk about it, but has potential I think, especially for a new investor like you.Can you work from anywhere?   

@Martin A Phillips I would talk to other local investors and see what title companies usually handle transactions with hard money lenders.

.#3 the tenant is talking about two sellers ago.

Better check with the Building and Planning departments before continuing. 

Assuming RentingFamilyMember continues to file Schedule E, would/how does that affect the real estate capital gains exemption on a future sale?

When I was talking to a lender today, he mentioned that if closing a property on LLC has no leverage or adds value to pre-approval.

I talk to our local Section 8 office frequently as a property manager and in the begin they made it VERY CLEAR that the minimums are to protect the landlord AND the tenant.Most likely, the tenants are not going to have excess cash flow or savings to cover any of the damage to your "upgrades". 

More than likely, you will be out the time, the court costs, any lawyer expense and come away with at best a judgement that will costs you more money to collect.The best route is to talk to the GC and if you cant find common ground, part ways and find one that will in fact finish the work. 

I'm currently living in Hoboken, but my landlord is not willing to allow me to terminate my lease early, find a replacement , or sublet while my roommate continues to stay here.

Once you get that setup if you want to continue being active I'd buy a new primary every 1-2 years and move around while making your old places into rentals.