I do not understand what it is you are trying to do.

Understanding of the investment: I "thought" I understand the simple business model AHP presented.

Do I understand correctly that we are required to elect to be a qualified joint venture or to file a partnership return?

@Erick Pena please understand that buying rentals is NOT passive income!

Understand that the cost to the investor is only the cash that's out of pocket. 

I just dont understand how people are buying at such low caps ?

I fully understand there are consequences for my mistakes and I own up to that.

Recommend you have a great understanding of the answers to these questions before thinking about a lawsuit.You'll also want to use these questions as discussion points with any new PMC you interview.If you post the address, everyone here will be able to give you more feedback about the quality of the listing and perhaps more insights.

I understand that it is less than ideal, but it is reality. 

There are so many great strategies to help you scale your portfolio, so I understand your desire to find the right plan and avoid mistakes.