It doesn't make sense be in a -$800 a month (at best) while paying a huge monthly payment with high property taxes.

He is taking out an equity loan on the house of about $120k to make home improvements and was gonna use $50k of that to get me a car and I make payments to him instead of the bank. 

After researching and learning more about real estate investing using the BRRRR method.

Im not against either just looking for the most bang for buck method. 

They can hook you up with these contacts, making your real estate journey smoother.Since you're looking to cash flow, I'd suggest you take a closer look at Cleveland's Section 8 market, its known for reliable government-backed payments and high tenant demand.

How much of that is for the down payment?

Nearly half said it’s because homes are too expensive or they can’t afford to the down payment.

Any advice on navigating potential challenges or risks associated with alternative funding methods?

In 2023, my interest in real estate began to grow and led me to putting time aside to learn about the brrr method.

In my experience you will be able to get a better deal from a mom and pop landlord with under market rents and if you can get in there and improve the rents and leases and make minor improvements assuming interest rates go down in the coming years the value will go up as the monthly payment goes down increasing the value of the property and then i might trade up into a larger building with the equity from the sale.