None really reduce the amount of money they have to come up with, but if they are broke as a joke do you really want them as your tenants?

They are intent on collecting money before there is any property cash flow and less interested in doing the job they are hired for.

Basically, the money used in this type of financing comes from "Wall Street".

Did you close this with a hard money loan?

Just remember you are spending time and money to improve a space that isn't yours and you're not able to take the improvements when you leave, ownership should have some skin in the game especially in a new build.   

Tax-wise, profits are taxed at your ordinary income rate, and frequent flips may subject you to self-employment tax if classified as a dealer by the IRS.

I'll do this before my tenants move out however, my intention for this is so they can get the most of their money back.

To generalize broadly, most who call themselves private or hard money lenders (or any of the other euphemisms for the same thing) typically originate first-position or (rarely) second-position performing real estate loans.

I reduced my responsibility to only taxes/insurance while the tenant buyer does the maintenance, pays utilities and makes monthly payments to me. 

We were initially looking out of state for a potential move and or investment property just because the property taxes without being able to homestead, plus high cost of insurance, and harsh weather on homes made me feel like it might not be worth it.