The property company they use was also very thorough in the way they handled the property.

Would going to local real estate meet ups be the best way to find potential investors I could partner with?

Hi Mahin, I would love to connect further and discuss KC with you and how it would best serve your investing goals

You owe two taxes:A. capital gain tax on $150k ($500k sale - $350k purchase)  PLUSB. depreciation recapture on $100k of depreciation taken.Now, let's assume that you messed up somewhere along the way, and you only took $70k worth of depreciation instead of $100k.

I'm not sure of what exactly, but something led me to start connecting with others here and do my best to actually stay active.

The way I understand it, I would have to pay 4.125% of the purchase price in LLPAs if I want to get the normal interest rates.

Best place to start is reading up in the forums, buying a book or two, listening to the podcast and attending your local REIA.

This is not ideal but financially the best path. 

@Bradley Buxton makes a very good point to make sure to do your due diligence as you won't be an owner occupant like your in-laws.Last bit of advice: Because this is a friendly deal, you want to take your time to make sure you structure it in a way that maximizes tax and cashflow benefits for both parties. 

It's way easier when you have a turnover.My wife could manage this and she's hands off with the tenants.