Also any attorneys or tax folks that can help create them, or could I Just do it online? 

Otherwise, profits are lower, it's hard to find compelling deals, and there is little room for error in deal execution. 

  $200K leveraged to purchase $400K in property might create a tax bill of about $500-600/year. 

The next thing he told me was that I would need to create a company, lease the house to myself and put the other roommates on that lease in order to charge them rent.

@Tim Vallee I am not an attorney but if I were you I would create an LLC for ownership of the real estate that has nothing to do with who leases it.

I am currently in the process of going through Brandon Turner's The Book on Rental Property Investing: How to Create Wealth and Passive Income Through Smart Buy & Hold Real Estate Investing and it has really inspired me to take action and learn by doing. 

I have "I would guess" 50k equity in  my house probably closer to 70k here is my concerns that maybe some of you much more advanced people could help me with please. my first fear is I have my normal mortgage and IF I take the equity out basically it creates a second mortgage with a HELOC and using that to get my rental property...

Either way, my goal is to make offers below what I have in my analysis and then negotiate to see what type of deal I can create.

True, a return of 5.77% is not such a bad thing, but at the same time it is not a very compelling return.

So would I create a personal account under my name or use a business name?