Transitioned from single family into it.I agree with some of the comments in the post about the cost to build rising.

Since being able to transition to investing full time and managing my portfolio of now 31 units I love Mondays.

If you can make a profit on flipping it, or create some positive cash flow through renting it, I say go for it.

(all his risk) He is paying the builder (another brother) just like anyone pays a GC.When it's all said and done, they think they can sell the home for a profit, but they are not sure how to split up the profits, should the ratio be based on the percentages for example 23% to the father-in-law, and then 77% to him?

Not sure you'd be able to pull off an additional $1k profit on a three family while living in one of the units unless you take on roommates in the one you're living in. 

How are people paying so much and expecting to profit? 

So why is so hard to find one more JV or equity partner for such a lucrative and high profitable project? 

It also had their insurance of about $110 a month (gone now, $110 more profit). 

One great thing about real estate investing is that there are many different ways to make a profit and change your life. 

He gets a discount if he buys a lot or seconds or something but he keeps that as part of his profit.