Texas is not one.And NV is VERY strict I made one comment one time on BP about looking for an RMLO to do a loan for me. ( I am the money) and I promptly got a letter from the NV division of finance stating : 1. they see I am licensed NMLS  and state licensed in Oregon but not NVand if I have made any loans in NV I am in violation.. and we need an notarized sworn affidavit that you have not loan any money in NV>So anyone on this site or anywhere else that says they can loan to you and does not have a NMLS or state of NV lender license is doing it illegally and many will be just flat out Scammers.. 

W/ cash purchases transfer of title would be simple, but if we acquire additional properties with mortgage financing and then quit claim the title to the LLC, wouldn't that violate the due on sale clause?

In fact, once you take title, you are in violation of DOS and the lender can call the loan due just based on that.  

You need to have a rent collection system set up and a way for that money to be sent into your bank account and also be able to handle people not paying, bounced checks, HOA violations , tenant life problems,and you need to make sure you have a good current up to date knowledge of all the laws and regulations in your state and local area regarding your tenants rights. 

-When I post an ad, I use no HTML code and try to not include anything obvious in the headline or the body that would violate the craigslist terms of use on posting.

That's before the cost of whatever the HOA is selling it for, the cost of the QTA, the open trust deeds ($165K) and the recorded code violation.  

The contract should have verbiage about showing to prospective tenants or purchasers and they could be in material violation of that.  

Basic business law, a contract must have a legal purpose, it can not violate law, if you will check in the IRS Code you will see deprecation requirements for improvements, if the owner doesn't account for improvements and isn't paying for them, he's in violation of the Tax Code.

Either way, keep an eye on the property for lease violations and remind your tenant that he is responsible to make sure his guests follow the property rules.

I bought 10 homes in 2008 when foreclosures were around every corner, most of them could not be financed due to stripped out wires and other code violations, therefore were the best deals since competition was not as fierce, in that case cash is King , for others financing is best option.