If you were private money you might get 6-10% and have no control and not learn anything.If you want to make it work and be a true "1/5 partner" than do 1/5 of all the work.  

Turnkey is an excellent method to invest in Real Estate, it is important to understand your goals and strategy, then drill down the true meaning of turnkey for you, we can begin with:"Turnkey in simple terms means - a completed product or service that is ready for immediate use.

What is the downside to a conversion vs. true build? 

If something sounds too good to be true when someone is pitching a deal, you better investigate with due diligence.  

From a lending perspective, is this a true red flag for a lender?  

Jeff Beardvery true...

Lol, true...

If the investor doesn't buy it, it's just lost effort and money to me.Add in the fear that you will be asking for a discounted commission on the listing (almost always a bad idea) and the distrust that you'll buy the good deal and then FSBO it, lease option it or list it with someone else and very few are truly willing to work with flip investors.While it is true that most agents don't understand what an investor really needs in a deal, most "investors" don't ever really invest in a meaningful way. 

Hello Mary Ann, That's awesome you got a camp on Little Sebago Lake , it is a beautiful place!

I own a beauty parlor, nail salon, auto mechanic and auto detailing shop all with a 10 year leases.