Get lines of credit on your two properties and supply a hard money lender with capital.

The guys that work on those large upright rigid structures of steel at a refinery.

When they leave, you will need to re-rent at market price (which may be lower if the supply has recovered).I would not feel guilty charging a fair price to market in this situation. 

Below are cliff notes that provide a timeline of the issue. 10/2018- I buy and close on the unit after it passes inspection. 11/26/2018- After a rainy week in Washington state, I notice some dampness in one of the rooms that shares a wall with the outer structure.

Thus I think for 2019 and 2020 we'll probably see that supply exceeds demand across most of the US, which will push prices back down.

Call a business attorney and ask them questions about LLC and decide if you think it’s worth it and how it should be structured.

I am mainly interested in the best way for Sibling #1 and I to structure this loan/transaction.

Thanks all for the kind words of encouragement, @John Fedro The way that I structured this deal is as follows: Tenant buyer put $2000 move-in fee and $725/month for 96 months.

Read up on Delayed Financing- I've done it a few times, you can cash out right away if you buy and structure a deal properly. 

I don't know enough about Portland, but yes Seattle is adding a lot of supply and is something to be aware of.