This was one of those dreamlike buys where you see something too good to be true on the MLS, so you do what any investor will do and you tell your agent to make an offer for 10k under asking price.

If you have the capital to swing it and you’re looking at this as a true partnership my recommendation would be buying the property with a 20-25% down conventional loan in a LLC.

Lastly, I read that 95% of DC liens redeem (seems hard to believe) do you find that to be true? 

Yeah, so true, especially if I'm reading this bill correctly.

Is this true?

@Jeff Cantrell  The depreciation is the main legal way to not show profits from your rentals, even though your true cash flow is positive. 

And then there are true hard money lenders. 

True, much of Arizona is hot.

To echo @Tchaka Owen, the 5% interest rate also raises red flags, as it seems too good to be true, unless you have a super low LTV.

That being said, if the rents can really almost double, I would be skeptical of the true risks of the asset.