Again this is purely an initial thought but it could be worth looking into.Also, the idea of letting him in on what you are earning compared to what he is might spur him on to look into rehabbing the building himself.Please keep us posted on what you do as I'd love to learn how you handled it!

That aside, I wanted to share details on this deal (pure cash-flow play) and and hear your insight and wisdom if you think this deal makes sense. 

I am betting less on appreciation and instead looking at this strictly from a cash flow perspective because those numbers are real and appreciation is pure speculation.

You may also notice that I have said I buy based purely off of equity.

There are really no pure capital partners for RE, because it isn't that hard to do on your own. 

Lease options in all their forms, sandwich leases, cooperative assignments, pure options, and blends from all the above, all became my foot in the door and my calling card. 

This is pure evil. 

The reason why I want to stick to this strategy is that if I lose a tenant I know that I won't be left with the full mortgage payment to pay like I would if I owned pure SFR. 

@John Garb, From a pure business perspective it comes down to what you can make with a property manager. 

FYI, My broker doesn't do that; I'm purely trying to help out a fellow vet.Actually, on second thought, he might buy me a nice bottle of whiskey or something as thanks, but that's it.