Would that impact my tax obligation, or with the mortgage boot only impact his exchange and tax obligation?

 I heard from biggerpockets and other speakers that vacant houses are good to target for a better return.Someone in my neighbourhood,MD,left their house and it is vacant now.The people living next door told me they might have left for good for financial reasons.I realy want to buy the house.What are the possibilities and what can i do?

The financial penalty is 3 times the value of the property.

Are there any types of grants or financial aid to new investor/homeowners?

I am a 22 and in a very sound financial positions and can take on some risk.

I am not a financial advisor.

You will only be offering sweat equity at this point and you may get little, if any, financial return assisting a sponsor on the first deal(s) but it is often how you enter the commercial real estate game.

Our financial arrangement is my partner will put the 10% down for the HM lender, and pay closing and holding costs ($65k anticipated) My construction company will be doing the renovation, and I intend my company to bill our partnership for costs incurred (direct cost, no markup obviously).

Looking for cash flowing investments in the single family category w/ a goal of financial freedom in 5 years.Joined BiggerPockets after listening to several of the podcasts.

Madeline,You're on the right track, you just need to reorganize some of your numbers to better understand the scenario.First, the 50% rule is a general rule to help quickly analyze the financials on a property, although it seems to be very accurate on average much of the time.