So then at the very last minute, they start calling around and find out that a lot of GC's want nothing to do with a 203k, so they end up settling for a third rate GC as they are now under contract and they end up being very difficult to work with because they don't want to provide you the documentation, nor can they prepare the work order the way HUD wants it. 

I have a duplex that has two kitchens in each side in soups Ogden under contract.

@Jay Hinrichs is too smart not to see through my smoke and mirrors of self-encumbrance. 

First, how would I get a purchase and sell contract?

You should not have the 'friend' record a deed on the property, have a contract between the two of you for business purposes and purchase the property jointly and pay back based on the contract/agreement you have with them.There are other types of loans like Hard Money & Non-QM programs that may have different guidelines that can help you as well, but, the Delayed Financing option will give you the best long term rates for a longer term hold with fast repayment of most of your capital.  

I’ve had good luck with owner/seller carry contracts.

My buyer then sold and  Assigned the contract to another buyer who assumed the terms. 

Hey @Anthony Polcyn - smart of you to think about asset protection and tax savings.

I am happy for the contract to run for as long as the Tenant Buyer wants before they refinance out.

We dont' have the investor yet, as we would of course need to know the agreed purchase price via contract to present to them for consideration.