Hey Jon would recommend checking out FB groups if you aren't local (looks like you're based in the Bay).

And don’t sleep on local banks or credit unions—they sometimes offer flexible portfolio loans that could work for a deal like this.Since your wife qualifies as a first-time homebuyer, check out any state-specific programs or HUD options for down payment assistance.

Thanks, I'll check them out.

I’d love to check it out and see how I can get involved.Appreciate you sharing this as I’m always looking to connect with others in the real estate space. 

We already paid them a pretty sizeable entry fee ($30k) to cover some of their equity and debt in another project..Your title report should have alerted you to the issue.The payoff the escrow company got from the lender should have alerted you to the problem.Your interview of the seller before you bought the house, should have alerted you to the problem.You calculations on the numbers should have alerted you to the problem.Check, cross check and check again.

cashiers check?)

This means there are no checks and balances to ensure all transactions are entered correctly.

Check out property prices, rental demand, and cash flow in the areas you're considering.

Because I will never go into anything that is losing intentionally it's like asking me to choose A or B: take this 50k check or write a random 50k check to a politician.

You can also check out local Facebook pages in the markets you are looking in.