Evan, looks like maybe what your referring to is that any personal property is classified as sec 1245 so the recapture on that portion is taxed as ordinary income (and rest of property is taxed differently). 

The private lender’s terms supported my timeline and cash flow goals, making it an ideal solution for this type of investment.

Find the solution that is the EASIEST TO OPERATE for your guests. 

Are you referring to small MF, or are you interested in a syndication into large MF apartments?

I suppose you are referring to origination, right? 

It was the perfect solution for this home considering it's location only a few miles from the University of Houston, Texas Southern Univ., VA hospital, Texas Medical Center, Downtown Houston, Toyota Center, Reliant Stadium as well as Hwy 45, 59, 288 and 610.

Nice to hear you were able to find solutions to make the best of the situation.

There are much simpler solutions that wont cost you 18K. 

The renos are usually around 100k when it costs about 5k to buy just for reference, but they come in all shapes and prices.

Here is a reference that explains:https://www.nolo.com/legal-encyclopedia/intestate-succession...2.