If there was ever a guy who has absolutely no idea about rehabs and fixing houses its me but i had to deal with pesky squirrels and flashed my roof and started with small changes like painting kitchen cabinets to white and painting the hardware and man just that made a difference.I am debt free, no car payment and analyzing deals everyday.

They said bad original plumbing and roof leaking combo with all the rain we had.

Also, a conventional loan will not pay for the repair costs, so that would come out of your pocket whereas a private or hard money loan may cover most of it. , the method is meant to make for a quick turnaround. 

They have to state their down payment (called an option consideration) and their ability to cover a certain monthly payment, which is based on income.

The Village where the building is has now sought a demolition order for the building due to; smoke alarms, improper boiler venting, leaking gas lines to stoves, and leaking roofs over the front and rear entrances.

"Fine" to the extent that person doesn't declare the property his (it is his, actually) and you the partners out of the deal.If something happens with the rental (someone slips and falls because you didn't replace the balusters fully knowing the risk and despite the repeated requests from the tenant, in which case the insurance will not cover you since is considered gross negligence)  and the person on the title gets sued, all his assets will be at risk, personal and the rental.

Does this cover your payment with taxes . insurance, and a little for repairs? 

My thought is that as long as we can cover the HELOC payment from the rent that we would be collecting we’d be fine.Thoughts?

Rent covers the mortgage (plus a little) so it's working out okay for us so far. 

Our goal is to get to the point where our passive income will cover what i currently make(somwhere around 12 units) and i can stay at home to raise my boy.