One option I would throw out there that no one has mentioned yet would be investing in a syndication.

We have carefully studied our options and are considering the best ways to structure our investments.One option is to purchase the properties through a LLC for liability protection.

Can take your time on the rehab, do some of it yourself, build your contractor network, get familiar with rehab work and costs, not have to live with roommates (house hack), get owner occupied financing, and get tax free gain on sale at the end of it. 

We'll finance the other $500k.

Unfortunately I've injected every last dollar that I have on this project so borrowing or putting in my own money is not even close to an option.

-Lease to buy @ $930,000 (currently appraised at $890,000)-2 year term with option to purchase at the end of term-Non refundable 3% option fee of $27,900 -Rent $4700/month If purchasing at end of term: Option fee applied to purchase and 10% of all combined monthly rentIf not purchasing: Option fee is non refundableSeller able to break contract anytime with 60 days notice if agrees to pay renter 2x amount of option fee.

I'm wanting to put 20% down and have a 1st position 30 year amortized mortgage with a 2nd position loan (a private loan from a family member) to finance the property.

However, for my budget there is not many options available.

I see so many people flipping houses while contracting out all of the work and making decent profits, even when financing the deal. 

Alternative income options are available but will reduce the maximum loan to value.