It will minimize a chance that you would lose money on this deal and/or ruin your friendship.Here is an incomplete list of what you will need, and most of that requires an attorney's help:write a strong operational agreement for your LLC, covering numerous what-ifstransfer the ownership to the LLC, either with a deed or with one of the alternative methodsconvert the responsibility for the loan from him to jointarrange that your insurance will accommodate the ownership changeestablish operating procedures, including resolving decision deadlocksset up a solid bookkeeping systemI cannot tell how experienced you guys are with flipping, but a warning is due: over 95% of first-time flips lose money.

You said in OP "If I transfer departments at my place of employment I shouldn't have a problem living anywhere in the continental U.S" Does that mean you can work from home or it means there are numerous offices open to which you could transfer?

Wayne- I bought numerous of properties in Florida and still do.

I have looked at numerous deals (cheap dirt) and going in cap is around 10 percent for new build.

Hence my preference for quality over quantity because each quality deal will make it easier to finance the next purchase.  

I don't read posts about wholesaling but I see there are numerous topics on them and tons of discussion with two sides of a fence.

Work your quantity up as you get more experience.You may not know this, but Life Insurance is seen as an asset and can be used as an investment vehicle like your own house.Owning at least 30 units at a one location can usually afford a property management company. 

I am being told by numerous lenders that I can’t purchase a 3 family using an owner occupied FHA or conventional loan at that matter.

Was against it at first, but decided it would be best (for numerous reasons).Thanks for the help.

There are numerous Unique Benefits Associated with Multifamily assets.For example, they provide the opportunity to hire professionals that conduct cost segregation studies.