Unless a goal is unreasonable or aimed to flat out fail, there is no way a goal is bad for any business.A journey is an absolute waste of time without an end result.

Given the facts as presented; a novice REI with no capital, no prior MFH involvement, and no track record of managing money for others (previous partnerships, series 7, 65, 66 ect, PE experience), who wants to start in MF RE with no money down and may do that with a HNW family member, I don't think its unreasonable to assume that they would share in, at a minimum, the major capital asset allocation decisions. 

So to think say that 'you can't bank on appreciation' of real assets is the unreasonable assumption not the other way around.Business cycles matter but most of the 'value' of real assets is the fact that with a long enough hold time, they appreciate.

If I have a non-animal friendly property, I let all applicants know I have documentation from the city that housing any canine at all would be an unreasonable burden (some of mine are upstairs, down the hallway-type apts) to keep them from suddenly getting a doctor's note.  

Point being that it is unreasonable (not impossible) to expect anyone else to fund 100% of any deal, especially when you have no real experience. 

Just to clarify, because it is a fix & clean, it is unreasonable to have a property manager/ Architect because your contractor will write up a small rehab proposal and send you the after-math pictures.

I went to an unreasonable upscale suburban high school and hung out with smart people so a few of my old friends  are now well-paid professionals, some married well, but the pattern is always the same.

For example, if I were to offer 8% interested+principal, 30 year amortization, 7 year balloon.Reasonable or unreasonable terms?  

Hey Alex,While working in your "back yard" sounds reasonable it can very easily become quite unreasonable very quickly. 

Borrower shall occupy, establish, and use the Property as Borrower's principal residence within 60 days after the execution of this Security Instrument and shall continue to occupy the Property as Borrower's principal residence for at least one year after the date of occupancy, unless Lender otherwise agrees in writing, which consent shall not be unreasonably withheld, or unless extenuating circumstances exist which are beyond Borrower's control.