That way you minimize the entanglement while still giving him returns he can't get elsewhere very easily (8-12% interest). 

Never...ever...ever take some random opinion on BP that “Oh sure, your lender will easily do it.”

Inspections can easily add a month. 

If so and the only difference between the two loans is the down payment and fee terms, I'd approach it like this:I have no idea what loan amount you're looking at but let's use $100,000 since it is a nice round number and helpful for easily calculating some numbers.With option 1, you pay 0% down but you are paying 2.75% in additional fees that you would not have with option 2.  

Investors who buy more than one property are not usually so easily dismissed.

Sounds like a window mounted AC. 

IE something that is precluding it from being easily or economically feasible for a build project.

Is this something I can easily fix myself or should I call a plumber.

Your return is not bad but in the years to come you are looking at some potentially big cap expenditures such a roof, a/c and other mechanicals that can easily eat up a year or more of your profits

And if settlement doesn't occur, its easily arguable by the seller that the initial investor is liable to complete the settlement.We'll be discussing more about wholesaling again at our next meetup, which can be found at: https://www.biggerpockets.com/forums/521/topics/41...