Should we just give the majority partner all the cash and have him apply for the commercial loan? 

Best words of advice I can give about any subject...Learn ferociously for a short period of time (always with the intent of applying the knowledge), take a few of the concepts you learn into the real world on a small scale to actually feel it and gain confidence, make a plan with short and long term goals and then attack it.

And make sure you apply the screening criteria equally to all prospective tenants.Speaking of which, in just the last week I had to deal with something that I thought was kind of whacky.

She gave me $500 cash at lease signing $366 for pro rated July rent and 164 of 200 applied to non refundable pet fee.

I'll be rooting for you here in Orlando, Fl Blake!

If I had qualified for over $25k the rates would have been better.The process is just like applying for any other loan except that a HELCO is secured by your house.

Call this EAP (Earnings after Payments)To dig a little deeper, I'll also subtract the cash I tied up ($150K is about $30K + any rehab or closing costs at time of purchase) and apply a "cost of cash" (what is my opportunity cost of that investment in a fairly safe instrument), along with any EAP (can be positive or negative) and an estimate for my annual equity build (by estimating this from an amortization table).To clarify:Annual Benefit = Annual Equity Build + / - EAP - Cost of CashNote:  This is not accurate / scientific / mathematically rigorous, and I'm not recommending it as a way to calculate returns.  

The other option is a kaleidoscope of residential mortgages which just sounds awful, residential loans are a PITA to apply for.If they were in poor shape and this was going to be an extensive rehab and value added deal my bank would structure it as an interest only construction loan for the first 12-18 months.

Opportunities here are limited and we are very rooted here because of family.My wife and I have been discussing options and alternatives.

You would generally never have a reroof job, just maintenance every 10 years where you remediate blisters, fill low spots and apply a new coat of elastomeric.