Front porch, back deck, patio,side yard all fenced, back storage area, two car carport easy to maintain landscaping, ten year roof etc.

For BOTH, the income passes through on the K-1s from the S-Corp or partnership, and will be taxed at your ordinary rate on your personal income tax return.

I withdrew money from my IRA and it will be taxed as ordinary income.

Its not passive any more and now consider writing it off under IRC section 162(a) - "ordinary and neccessary business expenses."

Here's a related thread that might help you: Finding and Researching Private LendersWhile many hard/private money lenders can close quickly, and 4 days is not out of the ordinary for a business purpose loan such as for a flip, your loan will be a consumer loan.

What are your thoughts on holding flips for just over a year to be able to take advantage of the capital gains tax (vs selling in under a year and being taxed at your ordinary income rate)?

If you're in that 39.6% federal tax bracket getting to write off depreciation is much more advantageous than if you're in the 15% tax bracket (isn't marginal ordinary income fun?).  

@Rich Hupper They'll be taxed at the ordinary income tax rate.

@Matthew Stallings, In general you'll pay a lot less taxes on an appreciation vs cash flow play - Mainly because of cap gains rate vs ordinary income.

Flipping creates an ordinary income that is taxed at an ordinary tax rate.