Split the net profit on the sale 50/50, then have them reimburse all your costs out of their half.

If I don't get the house I would like the contract to say that I will be reimbursed for the materials.

So if you purchase price was $100k and rehab was $50k, in a 90% LTC situation the lender would finance $135k and you'd need to put $15k down.However, the rehab financing is done in reimbursement draws, so you have to front some initial rehab money first, and then get the money back in a draw after you show progress on the rehab.Typically, it's recommended that you have 6 months of interest payments and 10-20% of the rehab sitting in the bank account, in addition to the cash to close. 

There is no good reason to do it . tell him he can pay from his checking account and the company can reimburse him when ever they feel like it 

If you require them to travel from one of your properties to another on a regular basis, are you supplying a company car or requiring them to use their own car and reimbursing travel time/gas?

I've gone this far in my life without that $200 cash flow so why couldn't I just say for the next 8 years I have $0 cashflow, then in the 9th year after i've fully reimbursed myself the $20,000 I invested now i have infinite cash on cash return because i have 0 cash invested.I clearly just don't understand this stuff quite yet.

My tenants said they feel sick from all the mold and mildew after being exposed to it but moved out right away and let all their items.Tenants now want to be reimbursed for the rent, damage to there items which is nothing, they said their clothes smell like mold, hotel expenses, and reimbursed for financial burden.

Normally called a removal penalty or a marketing reimbursement.  

You would still use your own funds to start the rehab project and be reimbursed in phases as you complete the project.

Only benefit I see to adding the ID fees to the Homestyle loan would be to reimburse yourself for what you already paid the ID, but I seriously doubt any lender would allow ID fees to be included.Architect fees and engineer fees ...