to simplify, here's what i would do: don't borrow private money, or partner, until you have a track record. 

I bought this property with a private interest free loan from a friend. the person i bought it from need cash fast so i offered them a low cash offer and they accepted.I had enough money saved up to rehab the house with my savings.

I went to 35-40+ different markets a year each year from 2014-2016 to scope out places to lend privately.

Private money may be better. 

Typically this is called private mortgage insurance (PMI) but with FHA loans it's mortgage insurance premium (MIP). 

I'm starting to see more private note holders reach out to get a loan against the performing note they hold. 

Thanks @Iris OlivasI did some searches and ended up on a site that provided state by state listings of Private Lenders some of whom did 75k and up. 

. ;-) The following is just general informationIt sounds as though the seller has an investment to sell, not his private home.

I have a private investor who will lend his own capital for ADU financing.

Send me your site in private and I will evaluate it so everyone can learn from this, if that is OK with you?