I agree that sounds counterproductive, but there is a distinction in the type of house we were looking to buy (specific school zone, +4000sqft & pool) to live in and i'm looking to buy as investment.

Let's first make the distinction between hard money lending and private lending.

Friends and business have to have distinct lines.

No risque tantric massage oil kit or scented candle assortment for you.

Just want to create a distinction between the two.

And, a seemingly obvious distinction that I've not totally considered (but...I will do immediately). 

AS they are lending their own money  either cash on hand or in their IRA.A Hard Money Lender is in the business of making loans and there is a distinct difference the HM will generally either have a Fund where they raised capital to loan to you.. 

For example:You add to your plan saving $20K a year toward retirement.That money is magically added every year without being deducted from your disposable income.There is no distinction between tax deductible contributions (IRA) and non-tax deductible (Roth).

It's a subtle terminology shift but made the distinction so much clearer for me when I was reading through posts like this providing info on how the guidance is implemented. 

There is no useful "average", and you are dealing with two distinct parts -- the rehab and the resale.