Conventional (only Freddie Mac See Section 5102.4 of Freddie Selling guide).

A con would be that a cost segregation strategy was implemented, and the investor sells it within 5 years with no intention of doing a 1031.

that will tell a lot.. the mastermind i went to you had to prove how many deals you were doing they checked you out and you had to be invited... and there definitely was some of the top players in the industry there and quite a few that we know on BP as top providers in their space be it turn key  financing and wholesaling and also those that sell coaching.. ( which most on BP dont care for frankly)

Right, but to get an ARV close to $130k, you'll probably need rent to be close to $1,300 unless you can sell it to a retail buyer, which could be a big risk on its own. 

In theory, you could refinance the property and buy them out OR you could sell your interest to them.

It might cause me financial harm as I have to sell more stocks and might pay short term capital gains vs long term capital gains.

This is why we've seen good marketers gain massive wealth selling a false narrative, then ironically, use that wealth from the marketing to actually do the thing they first pretended to have in spades, now only possible via the marketing $. 

What cap rate is the selling asking?

They sell you a package to enter and then find you people to stay and never paid you back!

So back to being a real estate investor: the only way to be one is to buy a property and create value out of it, whether through finding a below market value house and selling for a profit, or renting and creating cash flow.