A word of caution though, the PHA will likely take a dim view of such an arrangement if they find out, so make sure everyone is on the same page. #4 File an appeal.

You are an active participant in a rental real estate activity if you and/or your spouse owned at least 10% of the rental property and you made management decisions or arranged for others to provide services.

Judges have been known to disregard LLCs simply because a third party guarantor is involved in a financing arrangement. 

Make sure you guys have the proper legal arrangements and ownership structure to protect yourself and the investor.I'm assuming the property will be or has been financed with a mortgage. 

We were actually attempting to hammer out the details of what the structure would be (i.e. whether we would establish a business entity (LLC) with operating agreement that laid out the terms of our arrangement OR whether we would just do a promissory note for the underlying debt (created by the credit he is providing) and then, within that promissory note we would also lay out the repayment terms and the ROI and exit strategy).  

Given the famously contentious air surrounding the matter of security deposits here in Chicago, I asked if he were willing to sign a form agreeing to this arrangement.  

Tenant shall be responsible for arranging for and paying for all utility services required on the Premises.14.

He has also provided an estimate of the work to be completed or you can arrange for repairs yourself during escrow.Me: OK, please let the buyer know that I will agree to each of his demands and that I will provide a credit for each item listed in his estimate.

@Patrick Martone, I have since learned that there are brokers who only charge you when you complete a deal (one I heard charges $325), rather than a monthly charge or a 60/40 split or some other arrangement like that.

Can you arrange for it?