Be careful when a seller is just providing "estimated" expense.

Long-term I am looking for a contractor who I can take care of construction, while I focus on sourcing deals and raising capital.  

You can try to have the buyer take care of the commission or reimburse you for the closing costs or something.

You should be careful with letting tenants breaks terms of the lease.

We do have a lawyer lined up who should be able to take care of that aspect, so that's good to know.In terms of the structure you proposed, I just have a couple follow up questions to make sure I understand properly:1) If the investor pays us $50,000, we would offer to pay him a preferred return of $3,000 per year from the monthly income we receive?

I don't care if the seller says he manages himself.  

People care much more about the aesthetics of their property than saving a marginal amount of money on their already small electric bill.

From what I've heard, they don't really care if you transfer it to an LLC after you close the loan, but it might technically trigger the due on sales clause.

Tristan,It looks to me like you are looking to fund the deal with private money and have the investors be passive while you and your group lead the way and take care of the asset management.

I would be very careful with budgeting based off photos and no experience.