Consequently, the pricing strategy must be among the first things to work on to profit from it.Make sure to compare with properties around the area to offer similar amenities or even better than the competition.

It's a trade off, if they would like to do it that way, they just have to put more time into it. 

You can have both, especially if you are mindful of your heartburn levels and tax consequences. 

We have a little trade going where I can help them out on work if they help me out on property buying/selling side.

Although they really believe this is an even trade, I question what a new REI has to bring to the table of value...and this isn't meant as a criticism...just a point of fact.There is a reason why there are so many that are not successful in this career (and others as well). 

What are the likely consequences for filing a complaint on a person who publicly claims to be a Class A contractor in Virginia but holds no license at all?

Managing more than 1 very low income property is a serious drain on time for an investor in most cases, but the trade of is typically the cash flow on paper numbers are better which draws people in to these investments.

If you do this, remember you pay taxes on the full rent amount, not the reduced amount traded for services.

You would also have to source the land which would vary based on location.With the guys I have I would only need to contract out the foundation and the licensed trades and my guys could complete most of the work saving me the developer cut and contractor profit. 

Just remember the more experienced the operator, the more likely it is that they only accept accredited investors so there is a bit of a trade off.