You've already committed to purchasing so don't sweat it.

So it's not like Turnkey is pain-free, you have to do the work and know how to avoid being taken for a ride, like pretty much any big financial decision in life.I am always happy to provide info to new investors, as it fuels my BP addiction anyway ;) But before you or your friend make any decisions, it's crucial to have a serious heart to heart about what the goals are for the investment and what your needs are with regard to time commitment, risk, and control (do you need to be near the property, do you need to be in charge of tenants?).

Recently, I have made a commitment to get myself back on track and start growing my portfolio again. 

He would own the lien on the building and it's only a two-year commitment with a really good return.

Further, if you're getting a loan that does have an occupancy requirement (i.e. an owner occupied loan) that you have no intention of occupying you're committing loan fraud. 

Lead paint is not very prevalent so I wouldn't sweat it.

You're advertising up front that you're only willing to commit to a year - actually less, based on only putting 6 months into escrow.

I’m about to close on my first deal and the only way the bank would provide a commitment letter is through a partnership.

I would advise you not to commit mortgage fraud.

Also the tenant started working for cash and I believe he may have been committing SNAP fraud but I have no proof.