Let me explain my current situation.

To BRRR it would be more like buy a 30K property, then spend 20K doing reno and then have a house worth maybe 80-90K that is paid off and producing income.If you are looking to do this both out of state and as a newbie, two turnkey properties is a clear winner in m book for your situation

I have a similar situation.

Is this a good criteria to have or is there an easy way to handle the lead paint situation?

I'd be happy to be proven wrong, but I think you're just going to be frustrated if you try to fix/refinish them after a "cat lady" situation. 

What are some financing options I could use in this situation?

Is that a common thing to do or would most LL’s turn us down just because it’s an unusual situation?

Also, another hurdle is my employment situation has changed and I'm now self employed which has made getting approved for a loan for the time being rather difficult.

Thank you friends for your input.I spoke to one of my attorneys yesterday and he said that I don't have to return the security deposit and the tenant is also responsible for a month of lost rent.I was just trying to avoid any ugly situation and offered my tenant half of his security deposit back. 

I'd be happy to share his contact info if you're interested.Also, regarding using multiple LLC's, obviously talk to an attorney for your situation, but what has worked well for me was establishing a series LLC.