Yes, 8% is high when they entered into this arrangement they were not in a good financial place.

I like taking a sale and purchase agreement and delaying the settlement date for 12 months to 24 months.From the Buyer's perspective, you want to have an option to purchase and not be locked into a sale and purchase agreement.If you are in agent, representing Sellers, you want to arrange for a lease purchase.

Typically, you would have the Operating Agreement prepared to reflect your deal, as opposed to ordering one "out of a box" that may not reflect the actual arrangement among the members of the LLC. 

Send me a PM and we can arrange a time to meet.

She arranged a meeting between the three of us.

You're in a business arrangement with somebody living in your property, and that person needs to know the terms and conditions of the agreement.  

How the family member expects to participate in the investment and how you plan to hold your investment will be large factors in how you set up the arrangement, and things you'll want to be armed with before talking to a lawyer or accountant (anything you can do to lower the amount of decisions they need to make/ask about should help keep their bills lower).  

Be quite careful in how you arrange your business.

Under a lease-option with the terms mentioned, you will have an installment purchase contract, you will need to foreclose you cannot just evict.Any option arrangement that requires performance of any kind by the optionee (buyer) is not a true option, it is an installment sale!  

It sounds like you are familiar with these caretaker arrangements, you must have done this before?