If you work with an advisor that uses their institutional platform you will potentially gain access to more ETF funds and differing allocation %'s.

@James Robinson  You will allocate a % of your primary residence that is being used as a rental much like you do a home office.  

Some of that $5,000 needs to be allocated to improvements, the remainder allocated to land.

This would be case specific and allocated to the two of you depending on the operating agreement.There are more rules and nuances that must be considered as well, so definitely consult with you CPA before transacting.

Other than a huge tax bill I have to deal with this next April all of our extra income is allocated towards investing (real estate and stock market).  

Of course, if your "great deal" still allows you to allocate to the Lien Holder their full $12k (but lessens your net Offer to the Seller by more than $12k), perhaps you could THEN negotiate with the Lien Holder to lessen what they would take to settle ie. two bites of the cherry! 

The only 1031 will be for your land/building allocation.  

You'll only need to set this up once, and then each month it will auto record the payment with the correct amounts allocated to each component account of the payment (principal, interest, escrow, etc). 

Let's assume the partnership agreement works out such that I will be allocated 90% of the partnership income, loss, deductions, credits, etc., and you will be allocated 10%.  

There is a strong case to be made for 20%, since the Yale endowment (which is one of the most successful investing funds of all time) allocates that much.