With the fires in CA, you can expect materials and contractors to become even more expensive. 

Then you can self-manage and learn all about tenants, contractors, etc. 

A formal business built on this seems overkill as you’re essentially paying someone for a service that already has standard model.If you and the parnter have distinct business tasks/abilities (i.e. not what you would hire an agent or contractor for), such as off-market lead generation, that’s a different discussion.

Make sure you have a solid contractor who knows the permitting process and does great work.

We were shocked at the cost of goods, lumber, cabinets, paint, plumbing.

I then hired contractors for plumbing, electrical, roofing, and HVAC upgrades.

My realtor/contractor/friend agreed to show them to me.

I suggest focusing on building your "Core 4" team—agent, lender (one who can finance both the purchase/rehab and refinance is ideal), contractor, and property manager.

This type of deal can also help you minimize upfront costs, as you’re reducing the cash needed to buy the property outright by aligning the seller’s financial outcome with yours.While there may be details to work through, such as crafting a solid contract or ensuring alignment with any financing you bring in, these can be easily addressed with the right team in place.

I believe local investors, agents, lenders, property managers, and contractors all have valuable insights, especially for someone brand new to Real Estate like my self.