That is how I have structured it so that I don’t have a ton of my own money into the deals.

Quote from @Frank Pyle: My client recently purchased a home with a hard money loan and have successfully rehabbed it for use as an Airbnb rental.

@Donald Hatter We send the information to a collection agency who attempts to recover the money; after they make several attempts they place it on their credit report. 

You're either doing it yourself, spending a little money and hiring/managing someone else to do it, or you don't do it and let the leads rent from someone else.

Apply for a dimensional variance on the vacant lot to allow a smaller lot and/or setback so it can be built upon.Your best first steps are to sketch a plan, possibly with an engineer's help, then contact the zoning department to discuss your idea with them to get informal feedback on your liklihood of success before you spend a lot of money.

Most people don't sell an STR that is making them a ton of money so odds are it could look better, although they could be selling it for other reasons.

Sale Price$171,000 - $55,000 (Rehab) - $13,680 (8% fees) - $40,000 (profit) = $62,320 MAOFrom talking to other investors and doing research, typically a Novation allow more money to the seller, correct? 

Always have rent money coming in from the duplex vs SFH (not).2.  

Perhaps you could consider hard money in addition to private money?

He has been saving his money for years and has plenty of money saved but no experience with real estate investing.