They shared I could easily sell this unit for 400K+ leaving a sizable gain in the short term.That being said I would face some significant capital gains and I was wondering if I had any options to avoid these.

Most “Gurus”, authors, advisors and experienced real estate investors preach obtaining seller “carry back” financing for property buyers in order to (1) obtain financing when they don’t qualify for a 3rd party loan (2) obtain financing when the property doesn’t qualify for financing and or (3) extend the “buying power” of their capital contribution (down payment) to purchase a larger more expensive property by having the seller provide a subordinated mortgage loan.That’s all and good, but why should the seller agree to finance the purchase of his property, instead of getting CASH for his equity?

My understanding is the seller bought with seller financing significantly below market value and has the capital to pay the near due balloon if needed.The seller is the one who proposed SF due to (I assume) capital gains. 

We ended up going with a broker at US Capital.

Nobody has a crystal ball and the failures in most operating agreements relate to their inability to anticipate  capital needs, introduction of new members, etc.

You will also have sizeable closing costs and working capital needs.

Their capital exposure was reduced by 200%+.So now they own the house and work is being done. 

Why buy a $900K home to only clear $500 a month when you can buy a $250K duplex that offers the same cash flow.The price to cash flow ratio has to make sense if you want to maximize your capital and spread your liquid reserves for down payments.

Keep in mind that when you invest all of your capital into one property that money will be stuck there until you can cash out refi or sell the property. 

Many will be well educated on their housing options guided by their brands, teams and universities, and are well capitalized and qualified on a short term 3-6-12 month basis, and I actually had a client purchase a newer townhome in Tallahassee for lease to a football player at FSU..Keep in mind the top earning NIL athletes stretch across multiple men's and woman's sports.