Not necessarily surprising in a C neighborhood but a major red flag.

Heard a funny story once where some first-time buyer was at the tail end of a several month FHA purchase and had a surprise divorce... supposedly the realtor ended up "purchasing" his swing-set for $3,500 to get him over the bar for required funds, and had to supply the bank with a notarized letter of purchase so they wouldn't write the deposit off as an un-seasoned gift. 

Take some photos before , during, and after your project, then share with us the good, bad, and ugly.Being a landlord is not easy, but with a team,  Its money in the bank !

Given that you are in California, it comes as no surprise to me that you don't know this.The next time you respond, please give sensible advice instead of mocking the original poster.

I am definitely the type of person who likes to have his ducks in a row before executing - which can be an issue sometimes.One thing that I learned surprised me.

They all rent for right around 1% of the purchase price per month and finding good tenants has been easy.

If it was that obvious and easy, then there would have been no investor using LLCs and everyone would just use insurance for protection.

Funding shouldn't be an issue at this point but working with the owner on this particular off market deal hasn't been easy. 

You can get lines of credit for your business that you could use to buy real estate, but I would be very surprised if they gave you the loan specifically to buy real estate.

Using easy numbers it would look like this: I find a home with an ARV of $200k.