Someone to potentially front the down payment or work on some sort of equity deal. 

We all contributed to the down payment proportional to the share we would receive of the investment!

You'll pull more money out, but have a higher mortgage payment and less cash flow, so it's all about what you want out of the deal.

I always run my STRs with LTR rents also, as my back up plan if cities change permits or cause me to switch to LTR Thank you for your response,There are some areas that still have new homes for low $300s I figure with a good down payment I can get a bit of cash flow, I know I won’t get rich overnight but when rates go down I can refinance and hopefully in the future I will be in the position to buy some distressed properties and repair them, maximizing future income. 

The arrangement seemed very complicated but the net effect was something with a payment structure that looks like a typical mortgage.  

I think it's still cutting it close and now I have to back track and add up all that time, so re-creating a time log.

Although not ideal for investors, Im torn because with the money saved on the down payment and closing costs you could buy down interest, put a down payment on another home in a cheaper place etc.

Saving $10k or $20k off a purchase price is maybe $120/mo difference in payment.

We plan to use short term rentals to cover the mortgage/monthly payments but with the skyrocketing property taxes in that area, I'm concerned we may not be able to net enough. 

Collect a security deposit when the lease is signed and require payment of the first month's rent at move-in.