Lenders often include a portion of the cash flow in the investment property as income to you personally to offset the DTI. 

That way, there is some type of cushion to help against any high usage months, should they just happen to use more than your previous tenants did, or if you unfortunately get tenants who abuse the "utilities included" opportunity. 

It may be easier to include utilities in the rent.

You should track your own units expenses as well so when you move out, you can quickly reclaim any expenses or depreciation you built on the personal unit when converted into a 2nd business unit which would then be included on your schedule E.You also write off half of your property taxes, insurance, HOA dues, or any shared expense.

The risk is not including due diligence caveats in your offer, like inspections.   

There is roughly $20,000 left in rehab including windows, floors, a new kitchen and bathroom. 

A real estate lawyer can help you navigate the specifics, including ensuring you don’t inadvertently trigger any unintended tax consequences.A few tips to consider:Check with your mortgage lender: If there’s a loan on the property, transferring it to an LLC could violate the loan’s due-on-sale clause.

My telephone number is included below if you have any questions or wish to speak, I have several minutes best wishes to you.

@Jerell Edmonds is right that many of us, including myself, waited because of fear and feelings. 

You will need probably 20% of total cost (Not including financing costs. 80% LTC) as the down payment.