However it was for actual costs which means now that we have a large claim from a water pipe break we will have depreciation taken away from payment.

On this forum, when people stretch the truth, exaggerate claims, or present an opinion as fact, they usually get called out on that! 

It is a lot like insurance, you don't really like paying the premium until there is a claim.  

Expect the tenant to claim maintenance issue so have proof of maintenance reports and repairs done.Being prepared with documented proof of everything is essential, he said/she said does not work.

My research into these areas shows that you will have a lot of code enforcement problems, lead paint claims against you.

If the bank has an issue with loaning to an entity, we would have to do a quit claim deed with both of our names on it.

For the sale info, the book, page, etc. are where it is actually recorded, not sure NU#, but if you click on the more info stuff, it looks like something happened, like a divorce maybe, where it went from two names to one, then a quit claim deed.  

The seller provided the tax returns but the claimed cash flow has taken a sharp decline the past 3 years to as low as $61 in 2015.  

After this point you would use the schedule E income that shows the rental income that you claim. 

Down the road, if I feel it necessary, develop an LLC and do a quit claim deed into the LLC's name.