We are worried that it will mess up the accounting for taxes, and if it is even possible to transfer the deed to the LLC while the loan is under just one of our names.

Does this mean that they are actually cutting it off or just transferring it over at midnight?

.#2 - Assuming you are getting a super sweet loan program like an FHA conventional mortgage or some other mortgage that will get sold on the secondary market: pretty much all of those loans have what's called a "Due on Sale/Transfer of Title" clause. 

the city held my uncles insurance money until i was finished with the rehab, even thou it had been transferred to my name. was a major learning experience working with the city and fire department, I believe it was a learning experience for the city as well.

We countered with the comps they required and haven't really gotten an answer back in the last week, just that they are transferring the issue to another customer service rep. 

Itemize you income and expenses the same way it appears on the schedule E.

The book on estimating rehab costs by J scott5. the E myth 6.Cash flow quadrant by robert kiyosaki 7.

I was thinking that Turbo Tax would calculate the suspended passive carry over loss for the one property I sold and it would appear as a deduction for about $32,000 on Schedule E.

@Jessie RandolphOf course, if you take a distribution from your retirement account you will have to pay the taxes and (likely) penalties.There are possible alternatives which would allow to you use these funds without paying taxes or penalties.First, you may wish to consider transferring the funds to a self-directed 401k or IRA which will allow you to invest in real estate without incurring taxes or penalties.

I like that once you set it up, it's completely automated and just transfers the rent money from the tenant's bank account to mine each month with no involvement from either of us.