While in this process I want to outline my criteria for finding and creating cash flow positive properties.

Create an agreement with them right in your Operating Agreement or By Laws, outlining their investment and returns along with your responsibility (manage the deal).

Outline your experience - doing BPOs, REO management, coordinating contractors, preservation companies, reporting back to the client, sufficient capital (because you'll need to front those costs and be reimbursed later), etc.

Outline where you want to be in five years.

Should the tenant discover this and dispute it with he CRA as I outlined, the furnisher of information, the landlord, is fried chicken.FCRA authorizes minimum of $100 per violation with max of $1,000 and authorizes trebled damages plus attorneys fees and costs.

You would net roughly $150,000 in cash from this transaction.You are pre-qualified for all of the scenarios I have outlined…below is a spreadsheet for you to compare options:ProgramEquity Line of Credit $90KEquity Line of Credit $130KVA RefinanceTotal owed against your home$360,000$400,000$424,000Rate4.75%5.75%3.875% FixedTermInterest only for 10 years then amortized for 15 yearsInterest only for 10 years then amortized for 15 yearsFixed for 30 yearsClosing costs and pre-paid items for closing$1000$1200$4900Net cash proceeds available after covering closing costs$89,000$128,800$149,100Monthly payment$357 + first mortgage $1802 = Total monthly payment is $2159$623 + first mortgage $1802 = Total monthly payment is $2425$2370 PITI first mortgage only Please let me know what price range of investment property you are considering and if you will need a loan on the investment property as well….and I can run figures for you.

A JV Agreement contract should be worked up by an attorney to protect both your interests and outline roles and responsibilities. 

And I know that @aaron @Aaron Mazzrillo outlines some deals using creative financing on his "deal of the month" at his website

This letter contains instructions on:- how to remit rent;- when late fees and notices to vacate are assessed / field in the case of delinquent rent;- A page of contact numbers (ours, plumber, electrician, etc) and e-mail addresses;- An outline of any near term renovation / rehabilitation plans for the property;- A form for the tenant to list defects, maintenance needs of their unit;

Does anyone have a good resource they can refer me to that outlines the general role of a property manager?