Trying to come out with a business model (Rental income)

[Ricardo Funk Hernandez]

I currently own a couple of properties and I have this idea to look for potential investors and create an actual business. I'm located in Central Florida.

First of all, the idea is to buy properties and use them as rental income properties. Now, let's say I want to buy a house for:

Price: $50,000 

Down-payment (20%): $10,000 

Misc, closing expenses: $2,000

Instead of needing $12k to invest I would look for an investor that put $6k and I put another $6k.

If that property rent's for $1,000 and the mortgage is $500, let's say the property management is 10% ($100, I would do the property management), that means that I would make:

$200 in income and $100 in property management.

and the investor would make $200.

Once the property is paid numbers will change etc.

My questions are:

1. Does it make sense or should I change something?

2. Do I need to open a LLC for each house we buy?

3. How can I make the person part owner if the person doesn't qualify for a mortgage but I do?

4. To actually get the capital for my side of the downpayment, I heard about "refinancing a house" that means if I buy a rundown house, fix it, then I can actually get a bigger mortgage which means I could get more money to invest in other properties?

Any feedback is welcome

Thanks!