We cant get a traditional loan because the DTI is to high any advice you can give would be awesome. 

Have them pay the cost of the property outright, and look to repay them and recoup your rehab costs with a traditional refinance.

If they refuse to pay you get the platform involved.

First is, if it meets some basic conditions, you can actually finance it out on a 30yr amort... second, it's a great way to leverage traditional housing finance to access land that has tons more options, particularly if it has other value, such as on or near a corner of two major roads, adjacent to desirable features like waterfront or views.

(new bathroom and kitchen) the only thing we'd possibly do is pull up the carpet and re finish the hardwood floors underneath.I have experience remodeling homes( I worked as a framer and helped my dad remodel homes as a teenager as well).the house is about 60-70 years old but in good condition.I plan on financing with a VA loan but might consider traditional if my father in law has his property sell and go in with him as a partner.My question is does this look like a good a good deal as a live in that we would be renting in about a year?

It also will not qualify for traditional financing.

Once able, we plan to refinance the VA loan into a traditional loan with the equity we've built over the span of 1 year.

So if your strategy requires you to get traditional loans, single-member LLCs may not be the best option for you. 

Traditional banks won't lend to you on a residential mortgage in the name of your LLC, but there are lenders out there that will......Viso, Corevest, Lima One to name a few.  

How to Invest in Real Estate through a Self-Directed IRAA Self-Directed IRA is a traditional IRA or Roth IRA in which the custodian permits a wide range of investments that are allowable in retirement accounts.