Total Profit if Sold: I just can't seem to get the numbers right!

Boot is what the IRS calls profit that you take from the sale. 

Look for a minimum of $20,000 profit per flip.

I am thinking my strategy should be to approach a family member to lend me the money for a down payment and then take out a hard money loan and either do a profit share with the family member or 10% interest or something like that. 

if the Market Cap rate for this property is lower then yours by at list 2% you have some build up equity and could possible sell at profit.

Locking in your profits of your primary residence may sound appealing. 

And they’ll use our profits from this property as income to approve us for our next property rather than having to wait the typical 2 years for it to be considered income.

This gives you leverage to either sell for profit, or refinance for cash out to do another deal.

Any profit split varies depending if your relative just gives you money or also helps you physically. 

I'm not against profit in real estate, far from it, but buying a property that needs improvements in a high crime area that was worth half the asking price 12 months ago is not a good idea and if it's run down, you won't attract "stable tenants" in a high crime area no matter what you do.