Lawyer has been paid, Architect already has a down payment in which he created some plans already.

On the east side, in Redmond, we are currently living in a property worth probably 1.6 with about 600K outstanding - and a monthly payment of about 4K including mortgage, insurance, property taxes etc.Looking to leave the area.Does it make sense to rent it out given that I’ll probably get 4K in rent?

How much of the payment is profit towards principle?

If you have a $6000 per month interest only payment and the best case scenario is renting both units for $5000 per month (you only mention renting one unit for $2500, perhaps the other "owner" unit is far nicer and commands more rent?)

I need to put down 60k for my down payment.

I am brand new to the space, and I am wondering about loans and down payments. 

I told her to incorporate that into the loan repaid amount, and she immediately did and asked for my ID and bank statementsNow most lenders do 80% financing with a 20% down payment, which at that point, I understand why there's an upfront cost.But if this is a 100% financing agreement, why are they asking me for anything upfront?

There's creative financing method to get started with 10k like seller financing or sub-to, but this will take a lot more effort.

I thought this was as simple as creating (3) separate amortized payment schedules for the amounts owed. 

This would allow me to have smaller payments on my primary residence.