However, employer profit-sharing contributions (up to 25% of W-2 wages) are not subject to FICA taxes and do not appear on the W-2.To stay IRS-compliant, ensure your Form W-2 and Form 941 properly reflect deferrals, and maintain a reasonable salary to avoid red flags.

It would cost me only $2300 per month which includes rent utilities furnishing and property management. she showed me one example only of a customer who profited greatly.

Too many are locking up properties at retail prices and tacking on outrageous assignment fees, leaving no room for investors to profit.

I don't have much advice as now the profits are gone and it seems like the best thing to do is to get your money out the deal and move on.  

BUT, it's NOT net profit.

If you adopt a solo 401k as a Sole Prop you won't have to run payroll and incur payroll taxes and you can still do $23,500 plus 20% of the profit as a profit sharing contribution.

Suggesting to them buying their house for a wholesale range offer or lower dependent on the extent of the rehab, then having a contract in place that gives them a percentage of the profit to help get them back on their feet, paying off debts etc.

While smaller towns in Kentucky often have lower price points, which means less capital is required, there are limitations to the profitability of these markets.

I don’t know your exact situation, but in your shoes I might pursue the refinance option first and then equity buyout second.

You never get hurt taking a profit.