I have had people work for me for years under this concept and with some very few minor disagreements it has worked out very well, the money saved allowed us to do 3x the work than if we had gone the traditional route.

Traditionally I have sold the builder land and loaned him the money to buy the land and build the house with us splitting up the profits when it sold. 

I don't have any apartments in the traditional/complex sense either, and I'm sure that turnover is higher in those.  

That said, I completely understand your concern about deals looking "too good to be true" when you’re putting in 50% down.To avoid this, it’s best to analyze properties as if you were using more traditional financing (20-25% down).

The problem we are having is much of our current deal flow is below traditional lending terms (<$75K).

If you’re working with a community bank or a traditional lender, these issues may not be as relevant.

Yes, most large traditional lenders only focus on 1-4 units and other properties that fit into a box. 

Checkbook control bypasses the custodian.   

I assume the sellers are offering seller financing since obtaining a traditional mortgage or refinancing to one after 7 years for this property is highly unlikely.

What’s your experience been like with traditional lenders vs. private options like ours?