However, one of the other REITs I invested in quadrupled in price, and as a whole I’m $150,000 positive.  

The more time you spend talking about other options and try to build up the negatives, the less time you are spending on what you fell are the positives of your own idea.If you believe that you are onto a great idea using L2P option contracts and forming partnerships where someone else provides 100% of the money while you provide 100% of the real estate-related functions, then start it up and make it work.  

You really have a great position here.If your private money runs out or runs tight, then you can explore other funding options like hard money.

Last thing to look at (and right out of the pages of our client's own experiences) might be starting a transition of wealth in the form of using 1031 strategically to purchase property that your heirs live in until you pass and they inherit. 

Turn this around into a positive feel for the tenants. 

There are a few programs that can do second position financing but typically underwritten based on your personal income.

With no renovations needed, we leveraged strategic pricing and marketing to sell it the same day for $147,000.

Also, if you were in our position, what questions should we be asking the lenders to make sure it is a good fit?

If you used a loan to rehab your property and find yourself in a difficult position, doing a straight refi (just paying off the old mortgage) will be easier than trying to pay off the original loan and take additional cash out.

If it's an HOA-based one, or has some other deed restriction, get out of the position.