He might be better off finding a private individual to loan the money at 12%

In my state there is a condominium declaration, which is a legal process to subdivide a property into individual condo units.  

I need a good solution to manage these lists long term as well as create new ones.

I came to join BiggerPockets by stumbling upon some amazing stories of individuals success, and hope I will be able to tell my story one day.

As security deposits are the tenants money, it is not necessarily a perfect solution to ask the seller to cover these amounts, but it also creates great risk on my end if there are no security deposits in place. 

One must consider price point (if the exit value is under $100k, then the 70% rule needs to be more like 65% or better) and if the exit is say $500k and in a hot market, then rehab flippers could still make money today (key word today) at 80% rule.The price point, the market conditions, the level of rehab, the rehab extent, the individual investors capabilities, the financing, and many other factors all come into play.

However, depending on the lender, the underwriters will also want to underwrite back to the individuals.

I talked with my lender and she stated that we cannot acquire a loan through an LLC and it would have to go under our individual names.  

I GC for a select few large out of state investors and they are creating their own comps ( both rental rates and flips) with the formula that they have implemented and upgraded Hvac is part of that. $2400 isn't a horrible terrible price but I think you can do a little bit better especially if you're replacing the furnace.. it's not like he has to pull a second permit for AC when he's in there doing the Furnace anyway.

It's not exactly a "fair" assumption but you have to put yourself in the shoes of an owner who's being solicited on a platform where it takes about 3 minutes to create a fake profile and/or pretend to be someone else.