Yea the containers are also normally sealed, from what I have heard, reducing pests inside the units.

The all paid for house would be a stress reducer for any long lasting vacancies, and you can make sure the one that is free and clear is the less  desirable (if there is such one).Just some thoughts!

You don't like a Pm but your headaches are greatly reduced when u are using one.

Buying the mortgage (debt) is pretty unlikely play.Acquiring the equity of the heirs may be available however I would not go that myself because odds are high their equity will be reduced or eliminated by offsets due to medical card provider's claims for reimbursement. 

It's obviously a good chunk of money that will be added to my income but have read that I can deduct certain expenses in order to reduce the income.

The LLC, or other forms of checkbook control such as a Solo 401k or IRA Trust would dramatically reduce both per-transaction fees and more importantly all of the bureaucratic paperwork and delay that goes with a 3rd party custodian/transaction processor.  

This reduces his rental ROI, increases his out of pocket investment, and results in a capital loss if he sells before (hopefully) appreciation takes place. 

When a landlord does not do the same they not only supplement tenants rent out of their own pocket, reducing the value of their property and operating a inefficient business.

Now I have a property with a $650/month mortgage, and $1200/month rent with the potential to challenge the property taxes to reduce the mortgage payment to $550/month.

Assume same property.Do the losses reduce my schedule E/8582 to $0ORDo I report my income of $5000 on my 1040 but than apply the losses to schedule D, which then limits me to $3000?