“How” they live together is more involved.

If you go with the partnership route1) You need to manage the money going in and out of the business bank account.2) File a partnership return and be responsible for issuing K-1's3) make distributions to you and your partner for cash flow that you receiveYou will likely spend many hours on a nice gesture.I may want to consider instead to give a christmas gift or a bonus for early completion of projects.

Understand the fees involved and calculate the total cost for an entire year of management so you can compare the different managers.

These are great for experienced flippers who can handle the tight timelines and costs.Private investing usually involves individuals funding your deal, like friends, family, or networking connections.

When investing in high cash-flow markets, I always recommend working with an investor friendly agent so you're able to gain the right insight on the different areas and the risks involved.

Detroit would be a solid option if you're strategy involves a little more risk for potentially higher cash flow. 

Did you check to confirm they filed a form d with sec?

Last year I spend $9500 additional in bookkeeping (not including my accountant or tax filing.)

It is also the seller's fault for accepting it, they full well knew this was not right.If you were to file for eviction for non-payment of rent, you'd probably win.

For us, we have insurance on it and found it easier to keep in the trust vs. llc and have to deal with state filings etc.