While I agree an umbrella will provide essentially the same asset protection as an LLC you will only need to pay for the LLC once.    

I would check with local city codes and make sure what licensing is required, you are essentially operating a hotel model.

-Since tenant’s non-payment of the late fees are essentially a breach of contract, is it possible for me to refuse to renew the lease due to this, specifically since the tenant refuses to pay the late fees?

Look at the top school districts in the burbs.  

I have been searching in the saint rose district, along with central square and a few others.

That said, when it comes to investing, you have essentially two levers you can play with -- TIME and RETURNS.For a passive investor who doesn't want to actively search for, negotiate and manage investment deal flow, you're going to find that your returns are somewhat fixed at between 5-15% (these days, likely closer to 8-12% unleveraged or 10-15% leveraged). 

I think that’s relatively conservative. 2M divided by 75k is essentially 27. 27 times 400 is 130k.So basically it comes down to if that 120k is guaranteed or not.

I got stuck a little in analysis paralysis, I was aware I was looking for a good house in a good school district in a good neighborhood with good rental potential and better rates when running the formulas.

I know exactly which company you are talking about, I have bought their essentials course for $2000 and I do feel it was worth it. 

@Stephen Kappre Are you aware of any districts in Audubon/neighboring townships that are definitely zoned for duplexes/triplexes?