@Matthew Paul  OREO agents we deal with are so MUCH better than a wholesaler you buying form the bank  title is OK.. they give you a shot at the deal.. and they KNOW basically what a deal is .Good OREO or investor agents most defiantly create a niche for themselves..

Chase,A Limited Partnership or LLC is created for the sole purpose of purchasing the property.The Limited Partners (LPs) are the passive investors and the General Partner (GP) is the person/company or group of people/companies putting the deal together. 

Can I still expense it or does that create some issue?

and my fiancee and I are looking to create about $5,000 a month in passive income, so that I can afford to work less and we can travel together during the summers (which he has off).I'm thinking that I should begin by house hacking since we are currently paying 2,000/mo in rent.  

The strategy sounds fine but will be a slower process (time) as well as more expense with your cash being tied up inside each property.I'm a fan of the  BRRRR method, where you use debt to create assets and then have the renter pay your debt off over time.

As others have said, I don't think this is a big deal, and you sort of created the issue by letting tenants know where you live. 

And if there’s $75K worth of rehab the owners annual expenses are likely artificially low, which is likely what created the $75K need in the first place.

It would be much more simple to do steps 1-4 than to legally create a loan. 

There is a lack of land to develop new homes which create scarcity. 

So I am currently creating a pitch for my company to open up the ability to rent a room / house instead of putting employees up at local hotels.