We are open to exploring other lending options or finding a solution to transfer funds without incurring other fees/taxes.Any ideas would be great!

Just make sure you send the itemized list to the last known address showing where the funds went.

Start calling all your local title companies and ask if they will do a closed doc assignment and if they will do a dry double close so you don't have to use transactional funds to close. 

Specifics such as do you all setup an LLC between each other, simple partnership paperwork, etc. and if you go for funding is it easy to apply with 3 or 4 people on it ?

Opinion:  after you get your personal living situation squared away (I agree with @Jonathan Jamie velarde and @Stephanie Potter to use your VA loan guarantee for your own home or house hack).But the question you raise about high prices you find on MLS is interesting and raises another related question:  don't you think that other investors feel the same way? 

They raise deposits by offering a low rate and then they loan it out at a higher rate. 

Put most of your 'profits' at first into contingency fund, then budget a percentage of monthly flow to keep that account growing. 

No investor is going to go for thisTransactional funding is the only way to get it done

My assumption was while they are there I can make the improvements and then eventually raise rents.

Likely leaning on funding deals with a HELOC on our primary, and I'm still mulling the best strategy to use HELOC funds - leaning towards BRRRR or buy and flip, to keep the funds freed up.Excited to engage with you all, learn, and contribute once I've got some experiences to share!