I used and set up LLC's, S Corp's, and even C Corps to conduct business.Nothing unusual, for LLC's, you select how you're to be taxed, so I selected to be taxed as a partnership.

Thanks Tim.My insurance company said the damages to my neighbors unit will be covered under my insurance policy and there is no deductible to be paid by me.All he needs to do is send in pictures and an estimate for repairs.Since my insurance company is handling the claim, there is no need for an adjuster to come out.

@Victor Mondragon is the $4000 all hard closing costs or is some of that to set up you escrow account?

I recently finished "Set for Life" and in it the author suggests keeping your investment savings (not your emergency savings) in the stock market so you can ride the general upward slope of the economy before you utilize it.

@Joy Buell By making too much money you mean your adjusted gross income, which makes you ineligible to take losses from the rental properties? 

They also set up all of my tenants with renters insurance.

So while a Fannie/Freddie loan will be a 30 year fixed rate that is pretty low...a portfolio loan might be an Adjustable Rate (which will make your payment change), or only a 15 year term (which will make your payment higher), or have a higher rate all together...and I have seen many a portfolio loan that has all 3 of those features. 

The one I bought is %100 move in ready, and it is meeting the 2%, plus I already have a qualified tenant set up, so I thought it would be a good home to jump in on, and get my feet wet.

I would then have a lawyer draft a guaranteed maximum price (GMP) contract for your builder to sign with a very thorough scope of work and set of construction documents incorporated.

Is there a set rate/scale that lenders use based on LTV?