There is no set formula or math equation or even a good definition. 

If the JV partner is coming in with all of the experience they are going to be able to negotiate much better terms since you'd only be bringing the land into the equation. 

(of course, some properties are clearly above or below the line, but many are in a gray area)If that weren't the case, you wouldn't expect different appraisers to come up with radically different values for the same home (they often do) and, in fact, you wouldn't even need appraisers as you would just be able to automate the process (you can't).So, given that an appraiser's personal opinion and bias will play into the equation, it makes sense that if you can bias the appraiser IN FAVOR OF a higher number, you should certainly try to do so.

And, since Kaitlyn’s total interest expense equated to $7,500, she has a remaining expense of $2,500 that can be utilized for the following year’s taxes.

I know many layman equate the "disregarded" status by the IRS to also the corporate veil. 

That would equate to ~300 in cash flow per month and that’s with a 20% down payment which is a lot and makes the cash flow higher since mortgage payment per month is less.

Equations, matter, Math matters reliability matters accurate system performance matters.

Typically I use commercial lending which is 20% down on LTC regardless of ARV in most cases which would equate to around $90,000 and I want to drive that number down.

Use this equation to evaluate how much to offer on a property:Max offer = After Repair Value x 70% - Rehab BudgetDo you homework on comps to get a good idea on the ARV. 

To evaluate your situation you need to get a handle on the expense side of the equation