Some people just want a safe place to preserve cash and don't care about cash on cash, IRRs or cash flow.

Scenario: Purchasing primary residence with the intent to flip/hold & rent(still ..researching)~40k cash for investment purposes(rehabbing, etc)Portfolio loan option 1: 24 year 3.99% fixed, no dp, no pmiPortfolio loan option 2: 30 year adjustable after 10 years 3.49%, no dp, no pmiTraditional option: 30 year fixed 3-3.125%, will require dp, possible pmi.Ideally, we want to preserve as much of the ~40k as possible for rehab purposes.

I challenge is your all-cash investment will be preserved over the long run. 

Since I am not selling the property afterward but simply renting, can I write off the Capital investment as a loss or what can be preserved as a loss from this purchase/transfer into personal loan if any? 

Turnkey should probably be used as a strategy to preserve wealth or build SDIRAs, not to acquire wealth.

Obviously, if you can leverage HM or PM to get going, you'll be preserving your cash better and creating additional opportunities for yourself in the process.Good luck!

My suggestion can preserve the deal and create cash flow from it -while working to resolve the Trust Issues necessary to obtain a clear title.I necessarily assume that Anthony Vargas is accurate in his statement, "Her husband passed away and gifted her the property in the trust." 

Generally turnkey investing is seen as a capital preservation play with modest cash flow.

I just had the appraisal come back this week for 152k and I am in the process of refinancing the home to pull out the money for the cost of renovations + 5k while leaving 30% equity in the property to preserve cash flow and not over leverage myself.

In fact, if the Sponsor is focused on preserving, protecting and returning capital, they should be presenting some opportunities that are providing a steady risk-adjusted cash distribution that are 7 - 10 year holds (or reorganization at that point) depending on debt terms that are placed.