I would imagine the details would be available in the language of the individual state regulation.

That does not sound attractive - just imagine swapping positions with him. 

@Lauren B. the only way I could imagine you (as you describe your situation and investing approach) might be leaving money on the table is if all of the following were true:There is a rental property you can buy in an Opportunity ZoneYou can buy it with capital gains (eg. you sell an appreciated asset, then use the cash to buy the property)You then invest additional cash from capital gains into the property at least equal to the prior building value (this is a BIG hurdle - multifamily residential buildings don't warrant this level of rehab investment)You plan to hold and operate the property for 10+ yearsYou do all of the above under the umbrella of a Qualified Opportunity Zone Fund, which you setup and manage (with the help of a qualified attorney and CPA)As you are discovering, making all of these things true is not really feasible for you.

I can’t imagine someone else moving into home that God help me create for me and my family.

I don't know too much about partnership payment structures, but when I imagined being on the receiving end as the contributing investor, it didn't sit right with me that we're guaranteeing a set profit to one person whereas everyone else isn't.

It should be able to fit 6 people easily I would imagine. 

Let's imagine it is with a SFDU or a smaller MFDU using private lending. 

I can't imagine this can be done just by looking at a few pictures of the property.Thanks!

Imagine they are stocks and think long term. 

This is a pretty good size family so I would imagine they’re using all 3 sinks in the house fairly often.