This would be in central Jersey which is still a hot market as a result of record low inventory.I am planning to do this strategy since I want to put low money down (10%) on a construction loan and achieve a quick build to lower my holding fees. 

We now are looking to create an LLC and setup the necessary legal documents to protect both parties and layout the terms of the agreement.

@Argel Algura.Congrats first on your last.year and how much you have accomplished in a short time period. 

I probably won't withdraw it, so the long-term tax savings and asset protections are appealing.Anything I am misunderstanding or not considering?

I currently have 3 properties under an LLC and I'm in the process of finalizing a mid term rental but it will not be under the LLC(separate bank account).

Though I am unsure how I would amortize the up front remodeling costs for P&L, tax accounting.2) Interest only loans term loans -  Would allow current owner to have cash flow on the property, without eroding the asset value. 

Investment Info:Small multi-family (2-4 units) buy & hold investment.

Mostly on a long term scheduled with deferred maintenance. 

Many traditional banks won’t touch them, and even DSCR lenders will avoid them if the build out is done prior the securing long term debt. 

I have a few holds and have done over 50 Flips in the past few years.