First off, I think the Tax Court would view such a transaction as “running one’s personal services (here brokerage services, aka putting buy & seller together for a fee) through a Roth”, treat the profit on the “assignment” of the contract as personal services, treat the money in the Roth as an excess contribution, and penalize the taxpayer for failure to file the excise tax return (Form 5329) & failure to pay the tax thereon.In light of this case, I think that the Court would certainly view an IRA with an assignment deal as “not at risk” – all it has in the deal is $100.

@Tim Watkins, it sounds like you have a 2-person LLC, and assuming you did not elect to be treated as a corporation, it will be treated as a partnership for tax purposes. 

I'm not really sure how to approach this situation:1) I could just let her out of the lease, i.e. treat it as though the other two are assuming it.

Treat your property like crap and that you don't care, your tenant will have the same mentality about your property and treat it like crap.

But the nice thing about that is, if you are a straight shooter and treat your sellers right,  others will come to you when they are ready to sell.

Upon purchase it penciled out as minor cash flow treating one unit STR and the other LTR. 

And if you treat them right and keep your word, they may refer you to your next deal. 6.)

Unless the rules have changed, FHA would treat you just like a recent college graduate.

Transferring the property out of the S Corp, the IRS treats this transaction as a “sale. - as detailed in Owning Rentals in an S Corporation Might Be a Costly Mistake: Here’s Why blog.

@Daniel DietzMy suggestion is to treat it as a property owned 100% by the money person: the one who brings the down payment and whose name is on the loan.