I was disappointed that they do not even recognize any responsibility that they have after signing the lease, and are not willing to pay for both (rent and mortgage), since they want to buy a house.

In fact the value you get for your money is almost redicolous compared to what you would pay a lawfirm, because the documents are written and updated annually by attorney Tristan Pettis, who is the authority in Wisconsin and also involved in dafting Wisconsin landlord tenant legislation.

And the gain is not recognized or tax triggered until there is a sale.

@Angela P.You need to buy atleast the value that you sell.The value of the replacement property appears to be less than the 3 properties you are selling.You are either going to recognize a gain or have to buy more replacement property for it to be fully tax deferred.

With section 8 you can contact the housing authority and let them know how she is talking to you. 

He holds some powerful cards, you need to recognize that and negotiate accordingly with him.

Instead, simply recognize and appreciate that interest rates (in general) are at their lowest levels, and no matter where you go (credit union vs. bank) you'll have a relatively low interest rate.  

Here are the details:1,074 sq 3b/1ba Rowhouse 2 stories + basement, zoned RSA-5Asking = $28,000.00Rehab -> $80,000.00 - $90,000.00ARV -> $155,000.00 - $180,000.00Average Rent (3/1) => $1,221 (Per Philadelphia Housing Authority)Deal or No Deal?

That being said if you do decide to go the partnership route you want to make sure to clearly define everyones role, responsibilities, capital contributions, loan guarantor roles, decision making authority and exit from the partnership if someone wants out.

While some states have better protections for LLCs than others, when it comes to real estate courts only want to recognize local protections.