If he brought the house to your attention, then maybe it makes sense to pass.But if it was a house that you had been watching its fair game and you need to go after it.

The fact that the property is being flipped frequently gets caught late in the game by the lender (frequently in a quality control audit just before going to documents) which can burn a lot of you valuable time available under your purchase contract. 

Hello all, I have a SFR that i have about 50k equity in, I have a 15year note, payments are 995 and it rents for 1250 a month, Im thinking about selling next summer, my question is should I sell this property and invest the funds into a 4 plex or multi-family units or should i jump into the buy and flip game?  

Should I contribute some capital to have "skin in the game"?

I think that you have a pretty good game plan in order.

The sellers are selling their homes for full market value (no realtor commisions), and enjoying fair market rents from a lease option buyer who's been talking to a mortgage broker from day 1 (and has a little bit of nonrefundable skin in the game).

So play the numbers game and keep going until you find someone that needs your help to get rid of their property.  

There is lots of information here and on the google machine for varying options and their down payment options and requirements.

Hello again everyone, I am still new at the real estate investing game and have a passion for real estate.

@Cody Barrett is the seller open at all to seller financing, or is he pining to get out of the game?