I once bought a house that was so terrible of cat piss that you virtually couldn't go in without a respirator and I thought I'd have to tear out the subfloors to fix.

However I am struggling to understand and evaluate the risks involved with cash out refinancing 2-5 years down the line.

These structures are significantly more complicated than a typical 1031 Exchange structure and there are inherent risks involved in the transaction, some of which are discussed below.

I am starting to become involved in real estate investing and I am looking between two cities in Ohio to purchase my first property (hopefully a duplex).

Looking to see if anyone has a basic template of an operating agreement for a business partnership of two parties involved in the fix and flipping business?

Are they given a JV-co-GP position for fundraising or will they be involved in the management of the property?

As far as the sale of a property with a mortgage on it, that all gets sorted out at close. ie, you bring your money, the bank gets what they have coming, the realtor gets what they have coming (if there's one involved) and the seller gets the rest.

I don’t want much if any involvement because I’ll be doing other things.  

Meeting the material participation hours is absolutely doable, even with a property manager, as long as you stay actively involved in key tasks like marketing, bookings, and bookkeeping.

So, as Kristine pointed out, it’s crucial that people are made aware of the risks involved.