Have you done any research to make sure your identity wasn't also stolen by this tenant?

When it comes to taxes and people say creative it generally means tax evasion or fraud.

What if we shook hands and agreed to the following (some specifics can be modified):I fund his deals out of my 401k, and he funds my deals out of HIS 401kWe offer each other identical terms and the same amount of money (say, $50K)Private, secured notes by the real estate that is being improvedWe should probably both do our due diligence on each other's deals, to make sure there is sufficient equity to get paid back on our loansTerms such as: interest only, 6%, one year balloon, to be re-paid upon sale or re-finance of the property, with option to extend/re-finance after one year (in case the unexpected happens).  

Shockingly, this is not the most secure system, and there are still cases of rampant fraud (like this one from a few years ago,  or this one).

At least report it to your state attorney general or consumer fraud.

Two of them completed the app through MySmartMove, but for one, it's showing "Pending Identity Verification".

However it sounds like the investor you know is potentially committing mortgage fraud.

You should check out Johns Creek sometime as the demographic make up and schools, population growth, per capita income, job centers etc are almost identical to that of Irvine in 1995 - 97.

___Indy StarEx-Fox & Friends co-host Clayton Morris leaves country amid fraud allegationshttps://www.indystar.com/story...

That is fraud so stay away from that.