It seems that the property was foreclosed, then sold twice, ending up belonging to a Limited Partnership that does not have a real address??

You may may want to look into a LLP or Limited Liability Partnership for this.

They key is to make sure that the family is exchanging into a direct interest in real estate and NOT an interest in a partnership.

Has anyone set up a partnership that raises money with a real estate broker where there was a conflict of interest about how to price investor money to procure property?

B. if you do a partnership 50/50 for the house how do I protect myself from any problems that may happen in our relationship in the future?

I would also require the partner to come with an extra $3000-$5000 at closing to put into an escrow account for those emergencies (tenants destroy stuff, etc), as a hedge against a ruined partnership the first time something major comes up.

As a new investor (only have 2 rentals/fix & holds under my belt) and my credit not being good enough to get conventional financing for investment properties (no foreclosure or bankruptcies & I'm working on re...

Fair warning...I'm a newbie here.I've been meeting with two individuals in a partnership that have their own real estate investing company.They're willing to mentor me and help me through deals as I find the time available to shadow them and watch them work.They've taken time out of their schedule (10-15 hours thus far in the past month) to show me properties in various stages of rehabbing, staging, and have started to show me how to analyze deals.I've come across a property where I can buy it Sub2 and do an owner financing deal on it.

A multi member LLC is default a partnership but may elect to be taxed as a C or S Corp. 

You choose how you want the LLC to operate: as an S-corp, C-corp, sole proprietor, or even a partnership with someone else.