However the particular properties we are looking to start with are under 50k and neither banks or investors want to deal with them.

We are a somewhat quiet bunch in Lubbock.

My plan would be to rent it out monthly with the crappy kitchen, knowing I’ll lose money on it for a year (hopefully not much longer than this), then once we are able to renovate the kitchen, we should be able to generate some good cash flow.  

We are in our 30's with 4 kids (7 and under).

We are definitely interested in flips, Wes.

We are starting to work on Tiny Homes as a project direction -- our program has several years of experience in construction and building quality homes and now I am trying to get to know the regulations and guidelines for Tiny Homes.Would love to connect with anyone else in this Tiny Home world to grown and learn! 

As neither the funder nor myself have done this before, we are trying to decide how to split profits.

We are hopeful he will be able to pay us back but if not would we be able to foreclose on the house and rent it back to him?

And we are currently house hacking and renovating. 

I used to had one case, we are pretty sure about the property and we are ok to waive ALL contingencies since seller already have all the inspection report and it's a cash offer so not even need any loan work.