I have also told him that we would split the renovation and whatever percentage of the renovation each of us pay, then we will retain that percent in equity depending on the increase in assessed value, post renovations.

Take the resulting percentage and multiply it by your total tax obligation, then subtract this result from the Schedule E number you started with. 

I’ve thought about a million different models but the truth is even if they make sense in theory I’ve come to the conclusion they may be too convoluted to explain, so I will try to keep getting 2.5-3% and if I have to cut commission to gets deals done I’ll do that as well, but I think paying some percentage to sell a home is probably here to stay just possibly at a lower sometimes.

Looking at the underwriting rules for FHA and CONV investors can only own a certain percentage of the total # of units in order to be eligible for this type of financing.

It may not be as passive as the deposit in the bank, but you get 2.5 percentage points more for your troubles. 

If he comes under budget his kick goes up and if he goes over budget, his percentage of the deal goes down. 

The listing agent then splits the commission with the agent who brings a qualified buyer, and this percentage is advertised on the MLS for each property.

I commend you for finally admitting you own small percentages of properties you list on your company's "Portfolio" page and write about here.

I'm conducting research for an MBA project and am trying to do a bottom-up analysis of the residential real estate, property management market and what percentage of that market is comprised of properties with out-of-state land lords.The very specific question I am looking to answer is how many landlords own rental properties out of state, and how much do those landlords pay to management companies annually?

We just add the percentage of the listing channel back into the nightly rate.