The total deal with debt was above $10M but the total equity in the deal was around $4M. 

seems hard to find BRRRR worthy deals either anywhere near Knoxville in a decent neighborhood.

Commercial deals take longer and are all about relationships, so connecting with investors, brokers, and property owners is key.

Personally I would not take a negative cash flow deal.

It's still possible to BRRRR now, but the deal has to be muuuccchhh better and those are just much harder to find.People are still making it work in real estate though, primarily by getting more creative and often needing to add even more value to make the numbers work.

It is a great deal for the silent investor as they typically make 50% - 100% COC in less than a year.

How are deals like this usually structured? 

MLS-listed deals are a bit harder to find, so investors here have had to get more creative in sourcing deals either through their own hustle (door-knocking, website, direct mail, driving for dollars) or finding good wholesalers to feed them deals. 

Unless the deal is fantastic of course, and maybe it will be! 

In other words, not resold to the government so the bank had more flexibility on the condition.I look at the original commitment letter and it states "xxx amount will be advanced at closing for the purchase of an investment property, and the remaining balance of the loan to be placed into an escrow account to be disbursed as improvements are made".No points, and only one closing, so I don't have to deal with a short term HML that I have to refinance in under a year.Hope that helps!