When interviewing them, what are some red flag answers that would have you running the other direction or even just a bit concerned? 

When interviewing them, what are some red flag answers that would have you running the other direction or even just a bit concerned?

Get the Schedule E for the property, see if there are any red flags.

A flip is a business, so it is subject to ordinary income tax.The IRS does not care if you buy a house, improve it and resell it or you buy bread, mustard and lunch meat and make sandwiches - to them it is the exact same business model.You can search the vast number of writings I've done on this subject on Bigger Pockets.I agree with your CPA in all aspects and here is why.Running it through an LLC:  If this project comes in at a loss, how is your investor going to prove out their share of a loss or report it? 

My last job was with the American Red cross which i held for about 7 years.

In the project for a $64,500. 20% of my own money puts me at $12,900. so loan from the lender needed is $51,600. 

While it has been relatively good in terms of rates of returns, the markets have been red hot and finding the same type of good cash flowing deals has been difficult for now. 

No to real estate investment for the timebeing for me at least ( temporary)Because I already invested and I want to see how the market is doing, I want to learn more, networking.I am against real estate gurus who says invest in big amount and leave your job bla bla bpa, first when you invest in big amount and you do have cash the interest rate will be huge and this decrease your profit and yield/ cap , also high yield mean high risk second real estate as any business have good time and bad time so leaving your sustainable job and depends mainly on real estate investment is quite risky method, if one could generate double or triple his income real estate this is something else, I don't think typical person could rich quickly without high risk

So things that are a red flag for me may be fine for someone more aggressive.1) Portfolio matching: (takes 30 seconds per deal)a) Have an educated opinion on where you think we are in the real estate cycles (financial and physical market cycles)b) Then only then pick the strategies, capital stack, and specialized asset subclasses that make sense for that opinion.

I will prefer to use BRRRR strategy, but it is relative an advanced strategy for me at current moment, since I need to learn how to evaluation a property, how to make the deal, and how to flip house, and then how to refinance.