It is no secret that education and knowledge plays a huge role in building the foundation for a real estate empire.

I'd partner with a developer and role the land in as equity and shoot for returns above 10%.

My partner and I have not yet sat down with him to talk about involvement and pay structure, but want to be able to come up with options that serve everyone...And yes, I plan to sit down with an attorney and have each of our roles/obligations thoroughly drawn out before any deals are penciled out.

Six months later I exercised my options and bought all three properties with six months equity already built in.This is in Oregon so I can't speak to the rules and regs where you are at.

(a $300 a month or more spread is best).Should they exercise their option to buy in two years, the amount of the deposit would come off the purchase price in the form of a credit. 

@Jay Hinrichs are you saying I could be a little more aggressive at the auction because I know my friend will not exercise redemption rights on me if I win bidding?  

- what is my role in reviewing prospective tenants? 

Should they exercise their option in two years, the amount of deposit would come off the purchase price.In short, you get paid three ways. 1) You've collected a substantial down 20,000 (or more)2) You've made $550 per month cash flow x 24 months = $13,200 (the other 700 paid down your debt $16,800 so your balance to the seller is now $102,200)3) Your buyer gets financed at 139 (159 less the 20,000 credit) 139,000 - your 102,200 balance = $36,800 profit on the back end.So in two years you've been paid:$20,000 front end + $13,200 in cash flow and $36,800 on the back end for a total of???

I'm not clear what your role is. 

The amount of time spent on research for specific properties in slightly different areas for slightly different personalities that need particular approaches over months and months is more than enough to handle for a successful realtor without adding a plethora of tenants and renovations to make matters more complicated.Each person plays his/her role in the rebirth of neighborhoods...