Worked out really well for both parties because I made money without having to put up much if any and they got great returns while also having a secured interest in the property. 

For every 1,000 I get 500 back, or a 50 % return of my money.

Auction.com does not set the reserve, and what you thought was overpriced was just a really bad reserve set by a bank trying a better return. 

And of course ask for discount in return, since he want's money up front.  3.

Obviously the initial investment to furnish is more costs however the return is substantially greater when running the analysis.

The hotel has been established for 15 years & the owner has showed my all of his paper work and my yearly income will be $100,00.00 easy so once I can get my foot in the door , I can easily repay my investors it's just coming up with that initial $ 125,000.00 that is my biggest hurdle at the moment .

Flipping can certainly be done part-time, but it won't maximize your returns with holding costs.  

Hotels are tougher for many to underwrite and while the returns far out rank most property types, many fear the risk associated with them.

As Investors we want the highest  rate of return.   

The entry points for real estate are very high in the area I live in and the returns on cash flow do not make sense so me and my business partner have been looking at avenues in other states.