This will come at additional cost from what I was originally quoted.

With an additional allowance for reserves and annual cap-ex that may be adequate? 

In addition to the items you've mentioned, make sure you're accounting for utilities, trash, water, property management, and maintenance reserves when running your analysis. 

AdditIonally, I already assumed we’d have to have a very thorough tenant screening process but I dIdnt want It to be to the point where we couldnt get anyone under lease.

Evictions in Vermont can take longer than in other states and Vermont has an additional 5 protected classes on top of those protected by the fair housing act.

@Matt Fore Yes it does have to be capital gain although there is some language that just references "gains" so we are waiting on additional guidance as to whether ordinary gains would qualify.I think the reason capital gains need to be invested into the funds instead of straight cash is that by recognizing a capital gain you are selling something which promotes economic activity (selling stocks, businesses, real estate, etc.)

Eliminating the additional cost and inconveniences of a LLC each will serve a similar purpose but even with the LLC you must still have the insurance.

I am looking to invest in real estate to build a healthy flow of additional income.

On July 3rd (2018) I sent a settlement request to the builder's lawyer for the amount of the estimate (plus an additional 15% for unexpected expenses) and the amount of legal fees I paid for the lawyer (total is just under $17,000).

In addition, having my parents cosign the loan should eliminate the concern of no income.