I'm trying to build me list of good lenders to choose from as I start building my portfolio. 

How do you choose tenants if several have similar credit score, good history and meet all you criteria?

It's a revolving door,, If you choose to do this rent by the room, you will need to put a room number on each private room so if you ever have to file a eviction the room is designated,, I would suggest the electronic key pad type lock for main entry and one for each private room so easy to change codes.

Biggest mistake I made initially was buying a home for 130k - it's a good home but there's only a small pool of tenants who can afford the rent I'm looking for.If you're thinking of buying a rental for cash flow purposes, please don't spend more than 80-90k on you first single family home - I promise you will cash flow much better and have a much larger group of (perfectly fine) tenants to choose from.I also don't recommend buying a home for less than 50-60k, as that will just cause too much tenant drama/repair headaches.

Boy choosing between $130K now or rehab an 11K property and sell for $275K.

Your out of pocket expense can be reduced significantly if you choose that path.Would welcome the opportunity to provide assistance for your family.

there is no one right way or wrong way and everything can be used for growth, if you choose...in whatever way you choose!!

@Kevin H.The type of entity you choose will depend on what type of REI activity you are pursuing.  

I got my places rented within the week and got to pick and choose carefully who I put in my properties. 

A quit claim deed from both of them would allow you to choose between proceeding with probate or (if you were successful  with option 1) foreclosure.