Last but not least are potential investors - are they going to pass on the deal when they see that one of the GPs are being investigated by the IRS?

I investigated, it predates my original purchase.

This one is worthy of further investigation and pan out to be a fine investment

This is something I’ve been investigating for almost two years so either I do it this quarter or take it off my to do list!!

I sent it to my state financial investigator and asked is this legal.. here is her response.. 

@Pat Noyes Investigate Turnkey Providers in the markets you wish to invest. 

You can get ballpark numbers by investigating what typical rehabs cost in your area.

Finally, my first post - As noted in the title, I am an Ohio-licensed CPA investigating whether I could offer a cost segregation service. 

The loan has to be classified, can't even make a loan on a residence without asking.The loan will be reviewed within one year, usually several times at different levels depending on the type of loan.After one year, the occupancy becomes irrelevant, within that first year, it's relevant.We have a couple other bank examiners here, I can assure you they will not be listing the tactics and techniques used to investigate matters, I won't either.

It happens but always investigate but I agree with k Marie- don't start dreaming just yet.