There are some alternative structures using LLCs within tax-advantaged account that that give you total control of your assets and keep costs down. 

Let me know if I'm misinterpreting anything, but as I understand it, you'll need to do the following (assuming the worst-case scenario in terms of costs):Front $45,000 in cash for the rehab+ $10,000 for wiping out the lien in the second position, and also obtain a wraparound mortgage for $95,000 to absorb the lien in the first position. 

Your dad would still have to worry about the operator running the asset and paying the note on time.

If you are not married, generally her assets would go into probate and the probate court would decide what happens to her assets.

That way you can keep getting appreciation benefits over the long term but also build cash flow assets.

With the information provided it does not seem that strong margins will be obtained but this does not take into consideration the knowledge Zillow has about the markets that the pubic does not.

Odds of obtaining such a situation, probably 1 in 100. 

As mentioned before you can do a cash out refinance or HELOC, but you might also explore what would be possible in obtaining new properties without going into debt on current properties.

My next post will be an action plan to obtain 117 homes to meet my goals described above. 

How can I go about properly obtaining my second property with 30K of equity?