My parents own a few rental properties and are willing to partner with me on investments as financial backing. 

After further thinking, I think in the short term, I would like to have enough passive income to support my parents and myself so I can quit my job as an employee, and start a business venture.

At this point I still live with my parents and have considered renting.

To my understanding you can put down as low as 3% and it involves a parent/guardian co-signing on a home in order to build credit.

Yes, they can advise on structure but I would suggest talking to a strong corporate structure attorney and have them collaborate with the CAP to come up with the best structure for you -IMHO.For me, I have a S corp as the parent and several LLC's under that.  

Parent company? 

Would your parents, or anyone be willing to gift you the down payment or help you out?

Also maybe with a co-signer such as a parent or grand parent.

If a person has been living in a parent financed home, he/she provided the down payment and made all home payments and is the primary occupant, has recently refinanced the home (6 months ago), adding his/her name to the title along with a parent .

Alternatively, do you have a 401K you can borrow against, friends with 401k's, parents that have idle cash, etc?