@Ross MusilCongratulations on your first propertyYou and your partner will be required to file a partnership return.

,  I spoke to auction.com agent and explained I do not want to proceed with the deal and I understand it is as-is, but I apologize for change of mind, and did request for return of EMD.   

How good is their returner?

Because of this my short term summer returns rival the winter returns. 

Just not sure it would be a better return than just selling it today...Anyway, looking for your thoughts!

That and renting under market suggests you should sell, park the money somewhere safe to generate some positive returns and wait till you are ready to invest again.You presently have negative cash flow and over $2000/month in lost potential income based on nearly 279K in dead equity.

If a bank says "we need to have rental income on your tax returns to qualify you" they can do that. 

Depreciation is a non-cash expense so it will allow you to cash-flow but show little to no income on your tax return.

That means annual dues to keep the LLC in good standing with the state and the cost (or inconvenience if you file you own) of filing a separate tax return for each LLC. 

Nick,It always good to ask for 2 years tax returns as well as copies of last couple months utility bills.