So if any of you out there needs a young work horse who is willing to split earnings in return for some guidance, please reach out to me.

In other words, if they are supposed to be different companies, under what kind of agreement a company will give all its money to another company without getting anything in return?

@Andrew R. the NRW 91-01: Withholding on Sale of Real Property by Nonresidents is a good link - I went to bookmark it and found I had already done so in 2012 :)My understanding is that it's "withholding" meaning the seller may get some or all of it back once s/he/they file a tax return in Rhode Island for that year.Also a close reading mentions a possible exemption for sellers 55+"In the event that the sale of the property by a nonresident will not be subject to tax under Sections 121 (One-Time Exclusion - Over 55 Principal Residents)... the nonresident seller must make the gain election and file the RI Form 71.3 Election even though no withholding need be made""If the property Martha was selling was her residence and if she otherwise qualified and intends to treat the sale under Section 121 of the Internal Revenue Code (one Time Exclusion Over 55 Principal Residence), she would still have to file the election form 20 days before the closing but would complete the election form and use the special types of transactions area on the back.

I'm ultimately trying to maximize my cash-on-cash return, so I'd like to put as little down as possible.  

Rental Monthly Income $4,800.00 (8 rooms x 600) ------- 4800 x 12 = $57,600.00 Monthly Gross Operation Expenses Mortgage950.00 Taxes191.00 Insurance 166.00 Maintenance Housekeeping 216.00 Landscaping 60.00 Repairs 10% - 480.00 Operational Electrical 350.00 Water 150.00 Cable/Internet 150.00 Reserves 10% - 480.00 Total - $3,193.00 Annual Gross Operation Expenses Mortgage11,400.00 Taxes2,292.00 Insurance 1,992.00 Maintenance Housekeeping 2592.00 Landscaping 720.00 Repairs 10% - 5,760.00 Operational Electrical 4,200.00 Water 1,800.00 Cable/Internet 1,800.00 Reserves 10% - 5,760.00 Total - $38,316.00 57,600.00-38,316.00______________NOI $19,284.00 19284.00/46,000.00 (down payment) = 41% Cash on Cash Return (CCR)

Correct answer @Dawn BrenengenMust be signed and returned accepted to other party.

Yes, cap rates are compressing but even at mid 5s to 6s, w/a value add strategy, comps below competitors in price / rents and realistic underwriting that expects caps to rise slightly w/increase in interest rates, you can still make a very good return.  

My goal here is to figure out how I can pursue private money investors and be able to put that money to work and earn my investors a handsome return while maintaining control of the LLC for my construction projects.

Rent is just continuing to rise in the area and could easily be $1500-1700 in a year or two when I might move out.

In such a case, it could be that their income is not a reliable cash flow to make payments, even if a tax return on the average indicates the ability to pay.