Property management will only reduce the time, effort and headaches you put into it; not eliminate it.Given the situation you’ve described, I think selling it all at once and placing the profits into an immediate annuity sounds like a good idea.

What you described as an option isn't a good option (I said that nicer than what I wanted to say).First, dump the idea of Hard Money. 

What you have described is a garden variety land contract with a two year balloon.

what I really watch out for is JUNK fee's you may have 1 point origination but by the time you add up the junk fee's your really paying about 4 points or more.. this is the only way they can stay in business.. there is no way a lender can do a loan as you describe and the sum total of their income is 1200 bucks..  

Here's a guide that describes what good cash flow looks like and how to analyze a property.https://www.biggerpockets.com/blog/rental-property-cash-flow...

In fact there is absolutely nothing wrong with the above described technique as long as it's fully disclosed and UNDERSTOOD by all parties.John is "disgraced" because he got involved as front man with a Salt Lake City real estate marketing firm that promoted John all over late Nate TV back around 1998 - 2003.  

that describes the medium or the mechanism of the true underlying investing action. 

Every strategy you described, gets you less than a 0.1% conversion rate.

I commonly see them used in the application you described, although many investors who do this don't fully appreciate the risks they are taking.

The details are controlled by Section 483 of the Internal Revenue Code.https://www.law.cornell.edu/uscode/text/26/483Some bloggers, YouTubers, gurus etc. mistakenly refer to two other sections of the tax code, so let me address this confusion.Section 7872, also described in IRS Publication 550 as "below-market loans."