I think you are chasing a rabbit down the hole and aren't going to come up with anything substantive from what I gather in your post.

House Value 330,000.00 Loan 105,000.00 Current Mtg 1,200.00 Rental Income 2,200.00 VA Apt Rent 1,800.00Numbers aren't bad, but here's my dilemma and I need some advice or opinions.

In general, there aren't too many instances where a C-Corp is advantageous as compared to an LLC, in your context. 

You'll see the numbers clearly, what it will cost, and what benefit is projected, and make an educated decision yourself (with the counsel of your CPA) and stop giving money to the IRS, that they allow you to keep!

His insurance and PMI aren’t deductions.

For those who aren't familiar it is a toilet with a grinder pump to grind the "goods" and pump the remains upwards to a source of disposal.  

Unfortunately , lots of newbies get stuck at the startup/education phase and never progress beyond listening to podcasts and reading  a few forum posts ... break that trend and take action consistently... 

There is a tax sale coming up soon and if the property taxes aren't paid then they will be sold.

The podcasts are excellent and its great you are educating yourself.

It helps you narrow down the massive amount of information on the site.Don't get sucked into paying for education until you have done a good bit of self education.