@Ivana Ivanovic I would say 8% is low to cover both vacancy AND repairs.If you expect to incur just one month of rent lost every 12 months, you'd be looking at an 8.33% (1/12 of gross annual income) vacancy rate.And, even for a brand-new build, you're going to have some repair/maintenance costs as long as you've got human tenants.

-Costs involved for cutting curbs and running sewer? 

In the meantime there is no interest or monthly payments on those HUD loans.

I don't owe anything so I am under no pressure to sell.

I would probably need a hard money loan, not sure what carrying costs would look like.

Sober living facilities can carry a higher insurance cost plus riders due to liability and likelihood of predictable behavioral issues.

But for the unit you’re living in, you can’t do that.2.50/50 Split: Since you’re splitting expenses down the middle, make sure you both agree on how that’s going to work, especially since your unit won’t be bringing in rent.3.Your Unit: You won’t get to write off depreciation or rental deductions for the unit you’re living in, but you might still get homeowner perks like mortgage interest deductions.4.Partnership Stuff: Just make sure you and your partner are on the same page about how you’re splitting costs, income, and who’s handling what.Might be worth chatting with a tax pro to make sure everything’s set up right.

In order to purchase this first property, we got a HELOC on our home for the down payment and closing costs.

I feel the Bowie/Upper Marlboro area offer great value for flipping and/or rentals because the costs are lower yet you can sell to the DC buyer.  

There is no cross-entity leasing arrangement.