The mentor wants you to assume that you will be getting a lot of work out of them for such a percentage.

Considering the option of tear down and build a new house, I was wandering if there's an average percentage difference in insuring a new home vs an older house?  

To be fair, Engelo did say cap rates would probably be a couple percentage points below what he advertised through his frequent marketing emails.

If you sell right away, you can then keep half the profits (or whichever percentage you like) as a reserve and purchase your second with the remaining funds.

My honest opinion, is if you are looking at percentage returns, it is more common to get higher returns from commercial than residential, but you are also slightly more susceptible to market shifts.  

And when you hire a PM, you give away a set percentage of gross rent to someone who has never invested a dime in the property.

If they are able to collect, you will receive a percentage of that.

Since your parents benefited from the sale, a possible solution is to split the capital gains tax burden proportionally.You could propose a split based on the percentage of down payment vs remaining mortgage paid down over the years.

, or do you just make a percentage adjustment to your predictions?

Whether it is flat fee or percentage, the seller is going in know what they will be paying to sell the asset and factoring that into their asking price.