I know Walter personally.. he knows a lot about real estate from many angels..

Any insights, advice, or personal experiences would be greatly appreciated!

Many are personal friends of mine living just 40 minutes south here in San Diego. 

You could do something like what you want if it was your personal primary residence and even then the interest rate would be ugly. 

The biggest mistake I see out of state investors make is relying on others too much for direction and guidance instead of doing their own due diligence and building their own team that they actually meet and interviewRelying on one person who alleges that they have a 'team' built already that you can use as well can be a costly mistake.

I havent worked with him personally but have received a good referral for him.

If you and another person own a piece of real estate as tenants in common then you both own real estate. 

Personally I never listen to what the seller states the income is as they are sometimes way off.

Focus on the numbers and the goals, not personal feelings.

It's important to understand that a person can sue another person, but that doesn't constitute a judgment.