I wasn't sure if I should keep the pool or not but it sounds like I am much better off filling it and maybe making a patio area with landscape and tables for people to enjoy the outdoors that way.

Many BPer's will argue with this and say we're leaving cash on the table, and they are right.

Real estate investing can be done effectively with leverage of other peoples's money, but in order to attract the players, you must bring something to the table also.  

As a result you can make the IRR say pretty much anything you like by changing some assumptions.Since your investor sounds like a financially sophisticated person, a way to impress him or her might be to run a "sensitivity table" that shows various IRRs depending on the inputs.

I spoke to one attorney involved and he thinks they will eventually get it straight but there is no clear time table.

If you are using a contractor to do the renovations, maybe offer up a bit of equity if he/she brings money to the table.

Bring some of your own money to the table.  

@Bruce BeckWelcome to the site.In my experience the very best way to raise funds is to get yourself in front of as many people as possible and demonstrate the value that you bring to the table.

We could have this happen multiple times a year too, so looking for something not too complex.This is a pure business decision in my opinion. do you take money off the table and pay taxes vs keep on rolling over the investment using a 1031 exchange. in 2007 we decided to do a 1031 exchange to save taxes, but had to reinvest into a falling economy. in hindsight we could have done better by just paying the taxes.- also dont forget transaction costs. with such a heavy rotation of investments you will pay huge transaction costs in addition to any taxes.

How would I set up an acquisition with my investor buyer when I have no money or credit to bring to the table (aside from marketing expenses)?