Most leases make tenants like this "jointly and severally liable" meaning they are BOTH responsible.

Thus, as I am at this point a ‘hobbyist’ and not a professional I presumed I would simply report whatever minimal profit or loss realized on this first joint flip project as pass through income.

. +1I'm a big advocate of starting with a list of cities that you genuinely enjoy and want to live in.

Please make sure you vet your partner properly, I wouldn't recommend doing a joint venture or partnership with someone you don't really know. 

First and foremost, he is a genuinely good guy and not a scammer.

If you are able to connect with others who are invested (such as through this forum), perhaps a group of you could get together to file jointly, and split the cost. 

I appreciate the ones that gave me genuine advice.

Potential outcomes include develop and hold/rent, lease to developer, and joint venture.

Section 121 Exclusion: You’re also eligible for the $500K exclusion (if filing jointly) under Section 121 since it was your primary residence for two of the last five years.

It really comes down to genuine human connection with others in the space or quantifiable things like underwriting of the deal.That said, the past few years have been challenging, with interest rates going up and commercial real estate coming down 20-30% from the highs.