takes me out of contention with a lot of properties.Are most owners absorbing part of the cleaner's cost to remain competitive during down-rate periods?

Your processes can never remain as they were yesterday or last year. 

The basis of the property remains the same as when it was transferred to you.Gift Tax Implications for Your Brother:Your brother may need to consider potential gift tax implications for transferring his share back to your dad.

While going the otc route is my preference if this remains a viable activity, your experience seems to indicate this is no longer the case.

Currently, I am in 3850 doors in the remaining 25 deals (a small percentage of each - it sound pompous, but that is the way we express it).   

However, my Title Company emailed me regarding this issue stating that the lender remains insured. 

We're considering our options for moving forward.Numbers:Purchased for ~ $230,000 (2.5% interest)Remaining balance ~ $220,000Appreciated to ~ $400,000Cash flow is ~ $500 a month after setting aside for all reservesOptions we're considering:1- Cash out refinance- at current market rates, rough estimate is that we could access close to $100,000 in equity, but our cash flow would go to $0 or possibly negative for a period.2- Sell now - if we sell before the end of the summer, we could still qualify for living in the property for 2 out of the last 5 years for the additional tax benefits.

Ahh ok, so essentially if she assumes the remaining mortgage at $200,000 + $30k option fee, my tax obligation would be on $230,000 (not discussing capital gains work arounds...)?

Typically, when funds acquire loans, they assume delinquency/default risk in exchange for earning a yield on their investment.Yet this would work differently – it’s a request to purchase debt alongside a corresponding put option/insurance policy.From the buyer’s perspective, as long as the seller remains solvent, with sufficient liquidity for any exercised options, it’s a risk-free investment.

The structure we landed on was as follows:- Fixed Builder fee of $300k (each project varies but are 2-6 units, and 5,000-9,000 total finished sq ft)- Fixed Return on all my initial capital invested of 50% (plus return of 100% of initial capital)- Remaining Profit Split of 60/40 (60% to me, and 40% to him)I understand a lot of this hinges on how accurate the proforma is and how close we can get to actually hitting our development costs estimates, build cost estimates, and sales per sq. ft. estimates.