As an affordable housing compliance specialist, I find that a lot of property management companies are struggling to keep up with regulatory requirements from third party agencies.

Quote from @Mitch Seiffert: I have a single-family house in Minneapolis that I've been approached by a couple of parties interested in using it as a group home.

The crucial part is “all sources” and that is why security deposits are also considered."

But add to that the related party aspect. 

I’d love to hear from anyone who has done this before, how did you structure it, and what worked best for both parties?

There’s usually not more than one investor with interest in any parcel so there’s is absolutely no incentive for the investor to pay a “wholesaler’s fee” in this scenario.In the scenario where the land is ready for development, and the economic conditions make development a profitable activity, the land owner has already been approached by the developer or multiple parties with offers to purchase.  

(2) no independent third party escrow agent?  

Like any financing strategy, due diligence and proper financial planning are key to making it a successful solution for both parties. 

Quote from @Collin Hays: Yeah, the old Lorrie Morgan song.Several years ago, we had a party renting a very large cabin that wanted to cancel 5 days prior to arrival and get a refund. 

Would I just handle the payments myself as servicer or are there any third parties who specialize in this?