Seems to me the play today is simply be a preferred equity investor. 

Both GC's work on distressed properties so are hedging playing it safe as I just asked them for budgetary numbers to help determine if I should do this deal or not.I do have 10%+ in cash reserves already.

So is getting a lease for a 1bed/1bath (or 2bed/1bath) for 12 months, then relisting it for midterm a better play?

interest rates appreciation and rent growth play a huge roll in brrrr and housing hacking 

Its a product we offer, just doesn't get a lot of play, because its a pain to refinance that seller out down the road.

Part of this is a diversification play. 

You can't just start a syndication as a GP with no background in investing so I don't know your play here.

We’ll see in 24 mo if my strategy plays out.

Hoarders get attached to their belongings so not only do they not want to let go of all the stuff, they don't want to leave.If it's an heir of a hoarder, the play is easy.

I suspect the odds that the wholesaler did not misrepresent anything is fairly small.if your wholesaler is picking up the legal costs to pursue this so that you are only going to be out the time value of your earnest money, I think I would just sit back and see how this plays out.