On my way to inspect this week, I received a call from his ex asking if I knew the real reason the window broke. 

@Ed Matson what are some of the reasons why you won’t invest in townhomes with some HOA’s and not with others?

Most reasonable landlords would work something out with you. 

It would be best if he calls the city and asks them to turn it in (although it is already on) in order to establish service for 2 reasons: (1) He's going to need to have the water on for the when the property gets inspected (banks won't loan unless everything is proven to be working) and (2) Right now the city could charge him with theft of water by turning the water back on himself (well, really the contractor did it but the city does not care). 

The reason I am unwilling to pay 43 percent upfront is because I don't have a relationship with the GC.

Those numbers are reasonable.

So your plan to put the property into the LLC and then sell and buy is problematic for a couple of reasons:1.

The reason I ask is that I have need of the money now, but don't want a taxable distribution from the plan until next tax year.I don't see any reason why this would be an issue but wanted some expert opinions.

"if you have bad realtor and don't price it right the first time around..."20% of realtors are good, the others are, well . . . they're not making a living at it for a reason. ;-)

The main reason I even wish to sell it is not for the appraisal value, but because I would like to attain early financial freedom.