However, I am concerned that the arrangement is stifling my personal growth and money making ability.  

The flip income counts as ordinary income.If you have rentals here in Seattle, you need to make sure that flipping doesn't put you in a "dealer" status that affects your ability to 1031 or receive capital gain treatment on your rentals.

I've used McDonald once for a great price and they did great work but I've never been able to get him to even answer my calls (he's admitted that he thinks my cell is a bill collector because it's out of state.)

From what I have learned I would say you don't have to have an llc for any real estate investing, but the reason a lot of people on BP do is because of the ability to avoid personal liability should an issue arise.

The safe harbor prevents the borrower from raising the defense that they did not have the ability to repay the loan.  

Here are some of the things I look for in relationships in real estate:1) Complementarity: My relationships should have skills and abilities that complement my own.

What I like about the site is the ability for potential tenants to apply online.  

Too many people get greedy and burn their ability to build long term partnerships.

The current lender will likely Not consider financing you, short sale regulation issues.The current bank will require your offer go through the listing agent and Will require you show the ability to buy the property....pre approval from a lender, and perhaps proof of the down payment required.  

There are still bogus pre-approvals out there and I'm not taking my client's home off the market unless I'm sure you can pay for it.And as @John Thedford said, putting a property under contract without both the ability and intent to close on the sale can result in a lawsuit for "Fraud in the Inducement" http://legal-dictionary.thefreedictionary.com/frau...