I think it is more of a 20 year development plan, so cash flow now and let your investments grow naturally over time. 

Perform comprehensive due diligence, such as financial analysis, title searches, and inspections; also, go over lease agreements with renters to make sure they are aware of their rights and responsibilities.If all goes according to plan during the due diligence phase, close on the property, complete the financing, and get ready for the ownership transfer.

Secondly, who cares what the ownership splits are if the gain can't be realized because the values are propped up/can't meet projections, the sponsor cannot execute on the business plan or the fee structure severely eats into the distributable cash when the realization event actually occurs.

What kind of down payment and renovation costs should I plan for?

It'll take real work from you and him to be able to execute this plan.

Two rentals are enough hassle for me and I don't plan to buy more unless it's a deal that's impossible to pass up.

When it closes not only will I be able to pay the HM loan off but I would also plan to pay the personal loan off and still walk away with a decent profit.

Its under $250K.Its currently titled as "Joint Tenants by Entirety" with spouseI have been researching best way of LLC structures for multiple rental properties (plan to get more in future). 

To reduce risks and take advantage of opportunities, modify your investing plan as necessary.Overall, investing in rental properties in the Houston market can be a rewarding venture with the right approach, diligence, and mindset.

The plan was to rent the house out after repairs but I was unable to find another home to rent and was not able to finish repairs.