I had someone give us a fake employment letter and fake Visa last month so if it feels off, trust your gut like @Jeff Willis said.

But they don't seem to trust me or the ideas in Mr.

I wouldn't trust anything real estate-related on Craigslist and would not meet anyone for coffee.

Above my level of need.

Do you have a trust or when you wealth gets large enough? 

google All inclusive Deed of Trust state of CA.. that will give you a really good description and if you can find the actual deed of trust to read its a great wrap document .. in practice   you have a current 100K loan at 8%  you sell by owner and take a 125k note at 9%  the 125k wraps the 100k.. you continue to pay on the 100k the while the new owner is paying on the 125k  payment lets say on the 100k are 1k a month the new payment is 1.2k a month you make the 200.00 delta..

But, yes, whether purchasing a pre-construction condo or using a property manager, it's important to do your due diligence and work with people you can trust.

I don't have anyone I know enough to trust as a partner so I'd like to offer debt positions or equity payouts instead of partnerships.

The second piece is whether or not you pass the Material Participation Tests found in IRC 469 and the third piece is whether your participation rises to the level of Substantial Services (think hotel, B&B).4) My CPA Says I can't deduct a loss that was generated! 

The only work-around is to find a GC that you know well, (and who trusts you) and have them sign off on the experience.