Make an official written offer get it under legal contract that states if you give your friend the 10,000 he must sell the propperty for the agreed price and then just do a coventional loan.

You don't want to assume their loan (for legal and tax reasons)2.

If the sunroom is already appropriately permitted and a legal addition then converting the use in the property doesn't require permitting if you are simply repairing the distress. 

All a tenant really cares about is, are there windows, and (maybe) will those windows stay up or will they fall down and need to be propped up to stay open.However, depending on the old windows you may not be able to get a lead certificate, which you need to legally rent an apartment in RI.

@Michael A Pierson  Sorry for the confusion I may have created with my post.I tend to use the word "provider" as a general term to describe those that primarily assist you in facilitating a self-directed IRA (such as consulting, helping you set up LLCs, offering legal and/or tax advice, selecting a custodian or TPA, etc) but do not actually handle and disperse the funds used to make the investment.

@Matthew R Mcnulty I don't have a buyer yet, my plan was to find a good deal, get it under contract then market it and since I'm actually going to purchase it i don't have to worry about that gray line with wholesaling being legal.

It allows for the formation of separate “child” series under the “parent” Series LLC, but the liability is still compartmentalized within the individual “child” series in case there are any legal issues.

I need a place for my wife and children to live regardless of what happens to my investment properties or the economy.Another thing to consider are the legal requirements of flipping your primary residence.  

The seller has the risk of the buyer not making the mtg payments and there is very little the seller can do about it.Proper state required disclosures need to be executed by the seller, otherwise the buyer has some legal/criminal liabilities.Once a sub2 is done, a short sale is no longer possible.

Unlikely a PM will want to get involved just to evict someone and in most states they can't legally represent you in court even if they wanted to.