So instead of gifting me the property she is deciding to sell me the property for 100k which is what she owes plus interest and that would pay off the reverse mortgage.

You get the benefit of the homestead exemption plus having tenants paying some of the mortgage (if you can find a fairly priced property...not easy in south Florida!). 

My market is seasonal and I was begging for enough revenue just to cover my mortgage so I wouldn't have to pay my own rent AND a mortgage. 

After 8-12 years, they need to sell 1, re-fi one and pay down leverage + keep more cash reservs for cycle 2 of capex. 

I am targeting homeowners with dilapidated homes that need repair and offering to pay for the rehab and split the profits with them at the end of the project after the sale of the home. 

she cannot pay rent by herself.2.

But it's tough work and doesn't always pay off.I personally think the big profit is in new development or a project.So, I'm wondering: Is starting something new a better bet? 

And what rates are people paying? 

It's 30% more than I expected even though I was expecting to pay more than I would've just 3 or 4 years ago.   

We bought at the peak of the market in 22, and can’t stomach the loss in equity + paying an agent to sell.