@Ram Peruml Here is some unqualified advice - talk with a specialist like @Scott Smith for professional legal advice.1.

Strong follow up systems and helping the seller understand the market and what our objective was.

It depends on what you are objective is from this deal.

This first step is to stand back and look at your home with objective eyes.

Only verbal notice.  2 weeks later they deliver a note from Soul Reconstruction specialist that they qualify for a emotional support animal and go on to quote HUD about all they can and will do for tenants.

I agree that the conventional loan is more ideal in the sense that I am setting my first property up for better cashflow and coc return.However, I am not certain what are my "actual risks" if I run this through my name vs. what are my "actual protections" if I run it thought an LLC.I think the next step is to have an objective conversation with a RE attorney.

If you do not have experience in understanding home issues (I certainly didn't) try and find an objective person to review homes with.

The reason i say to do new construction if you have the capital, is because of what @John Collins said, people will flock to the new shiny object every time.

I'm OK with being charged; showings take time...........my objection was showing a property to someone who has not been qualified-that is a total waste those are usually the no shows. 

A legitimate lender will never object to you checking them out and confirming all their claims.Never be a motivated borrower (or motivated buyer), Michael.Best of luck to you.