So 12k skin in before repairs, 48k owed on property.I am looking into purchasing a second property as soon as I do the updates on this one.

To ensure they have skin in the game and protect you in the case of default.Think this through. 

@Matthew Fitzgerald, the biggest query I have is: if you're intending to (soon) refinance it so that you have NO skin left in the game (ie. ideal), are you sure it'll come to only $750/m Principal and Interest? 

I had my little one a month ago and he healthy and happy...I'm  just now getting adjusted to life with 4 kids now.

That is a very healthy cash on cash return.  

Since typically the cap rate is lower than the rate you would get from financing a new property and could even be lower than other investment options, it looks to me that sometimes it makes sense to sell the house and reinvest the money even if it is a healthy cash flowing property.I bring this all up to ask a general question, is this all well known stuff and am I just missing the websites and blog posts dedicated to the strategy of selling investment properties?  

Reno loans are risky enough to the lender; they need the buyer to have some skin in the game.To be honest, it sounds like you're having analysis-paralysis.

For a syndicator with no experience and hardly any skin in the game, I personally would not invest with that sort of split. 70/30 is steep enough but then I lose all upside during refi?

Keep in mind most HML will want to see a track record, etc or have you put more skin in the game. 

Let's use 2%- All profit after that point is split as equity between investors and management. 70% investors / 30% management for this example, but it depends on your skin in the game.So how you word it to your investors: The investors will get a minimum preferred rate of return of 8% per year.