We would be looking in the Philly market.How would you recommend structuring this partnership?

While I dont know the details, here is some info for the gift of equity loan structure.... this info is what the mortgage folks would be using.  

I never intend to live on this property but would either like to find something with a house already on it or ultimately we will put up a barndominium or some other unique structure to use as an airbnb.

One way to structure this is to pay the commission on the sale, and get a credit equal to half that commission on each of the subsequent deals.Many agents are willing to do this, many are not.

Or maybe find a partner who would buy with you and then you can structure an agreement where you buy that partner out over a specified period of time, with periodic payments or something agreeable to both of you? 

I want to ask her to purchase but I do not know how to go about doing so and structuring it so that we both benefit from the deal, any ideas?? 

@Sean Oh If it is an illegal ADU for an original permitted structure (i.e an original detached garage) the process for getting it legal is doable.

This does not appear to be a good deal for a buyer who has the ability to qualify for conventional loan terms.The seller has structured a deal that allows them to net more money through a combo of factors, including the price, the above-market rate, and the loan terms.

WE ARE NOT ACCOUNTANTS, so any discussion about our tax strategy on this one is based on guidance that we have received for ourselves – we strongly suggest that if you are interested in understanding these strategies that you consult with an accountant.Issues: we did not understand the financing structure for this transaction, our purchase price was $60,000 and our lender agreed to finance 100% of our renovation, but in order to do so they increased the amount of cash we had to put into the deal from $30,000 to $44,000… Normally this would not be a problem BUT since we purchased 44 Blanchard St. all cash, we definitely felt cash flow pressure.

As for the termites, I'd factor in a tenting, and replacing the siding and trim, it seems unlikely they ate enough to significantly damage the structure but a termite report would tell you that, which if that is the reason they fell out, they may already have a copy of or at least knowledge of.