However, I would wait until their lease is ending and simply not renew their lease and give them their notice to leave.

Lack of startup funding is common. 

I still have a hard time understanding how this business model works for them, but perhaps that upfront fee covers for lack of deal flow (?) 

Many people in the past few years that were simply raising money for funds or syndications, are now in serious legal trouble.

Quote from @Cameron Fowler: Hey BP Community,I am wanting to get into flipping and I have the construction experience but am lacking the cash or money to fund a deal.

What other costs are actually there that aren't coming up in my search that don't exist when simply filing for exemption?

@Tony Thomas  Points, discount or buy down are all the same thing, and that thing is simply pre-paid interest.

The common denominator I have heard was a lack of proper DD.

I think that Chat GPT hilariously acknowledges, however, that if this person then goes on to run for governor of Colorado, then, despite their likely lack of time and attention to the money I put into the investment, that they are likely to put up phenomenal returns as a nice bonus of either being in office, or being a threat of attracting any meaningful percentage of the vote in that state before dropping out and endorsing an eventual winner.

Most of the responses show lack of understanding of how it works.