This depends upon whom you are trying to protect, @Jonathan C.  

There are many ways to structure it, the beauty of LLCs vs S and C corps with more structural rules.

Also for the sake of numbers, assume full price was paid, $650k.Here's the property in question:http://www.zillow.com/homedetails/507-Avenue-A-C-Snohomish-WA-98290/2103553365_zpid/

Credit score over 750 in a c class area.

Josh C. thanks.  

Visit the properties and also get to know the property manager or team this will make or break your investment regardless of the area you invest in A, B, C, D, E, or F!!!

Your input is greatly appreciated.Multi apartment buildings, around 100 units total, 80+ 1BR/1Ba, 20 2Br/1ba, laundry, parking, pool, clubhouse, the usualsAverage apt 520sqft, $500 rent, $250 deposit (current numbers, about fair for the area)Not a great area, "C" grade apartments, 80% occupancyBuildings in foreclosure, sold by the bank - i.e. no solid records on maintenance , income, expenses, turnaround, etc.

Usually people have to use transactional funding because the title company will not allow the C Buyer's funds to pass through escrow and be used for the B Buyer to to pay off the A Seller.

Option A: live with family for free until we have new job(s) locked down, then move into real estate once we have a salary for a traditional mortgageOption B: rent a cheap apartment in GR to get our bearings in the city while looking for jobs, and learning more about the REI/rental marketplace by living thereOption C: explore creative funding options to speed up the purchase of our first investment property, which will help fund the purchase of our own homeOption D: look for a 2-unit to live in, fix, and rent before we purchase a larger home? 

I have no relevant experience in real estate and want to get to the point where I see a property and can say, this is worth X if you fix A, B, and C (basically ARV).It got me thinking, why not go for an Appraiser Trainee license.