Seller financed deal at $40,000 bathroom was down to studs, kitchen had no flooring and cabinets were falling off at the hinges, no gutters on rear of home, rear entry door suffered a break in and roof was leaking prior.

What do you do for asset protection? 

If you can negotiate seller financing for the deal and the seller is motivated enough to move the property, then you can build in loan terms to protect you and your investors from the dreaded capital calls because the property is in the red.

I don't know if you mean this to be an STR or LTR (I am not familiar with Oahu rents but >$3k/unit that close to the beach does not seem outrageous to me), but if an STR, I wouldn't do it at the current time - Hawaii is too likely to suffer from the Covid-induced hangover for air travel that could impact tourism there for months or even years.  

If no title transfer is involved who is the 3rd party dealer protecting both parties during the transction?

I was suffering from depression from 2013 – 2017, until someone in my support group at the hospital, gave me a wake-up call.

Would a second loan position provide my landlord with some protection (just in case I do not pay the loan)?

After talking to IRA finance group, the advise was potentially starting LLC a in those other locations and partnering with my SDIRA and then when I move creating a C Corp to umbrella them.I think I may be over Complicating the process, but I don’t want to get hit with taxes and want to protect myself and use some of my retirement investments to get going and play with my cash simultaneously Incase I can li find employment and this thing turns truly full time (tracking notes, liens, getting my broker license, etc). 

I believe going forward Virginia will be a more tenant friendly state with more protections for tenants along with more restrictions for landlords. 

If they're doing it right, they will protect your property, income, time, and sanity.