People go where the jobs are, where jobs are growing, people are going to move to.

The 3.5% would be due with the first months rent before move in.

Question: If we move the house to a different location vs demolish how  would this affect the 1033 and capital gains tax.

What aspect of the process are you looking for advice in: finding property, financing, landlording, etc?

You need a survey to start your design process. 

Depending on the part of the lake there will be different permitting process.

More institutional lenders are getting involved in the hard money space and much easier and better to work with as there is structure to the process 

An additional benefit of a detailed engineering-based Cost Segregation Study is that it can increase potential insurance premium savings as well as provides support for the property tax appeals process.

Now, as you mentioned, the property has to be in move in ready shape (but can need updating but has to be livable) for conventional or DSCR loans. 

I would definitely have a structural engineer do an inspection if moving forward, but the question is...should I?