Not sure how you cashflow with Proper, it’s just not proper. 

I would finish 4/6 rooms down there with proper egress and optional ventilation.

Most building codes and HUD standards require bedrooms to have windows for egress and ventilation.

Build sleeping pods that are mostly soundproof (double walled construction) and ventilated. 

These problems often occur in vacant homes due to lack of ventilation, climate control, and regular inspections.

@Charles Perkins is absolutely correct about "collecting all receipts, properly tracking all income and expenses and your basis for all assets properly documented and recorded."

Quote from @Christian Solis: When looking for private money how do you guys properly present a fix and flip and how do you structure that deal so they are happy with there return on investment ?  

If the insurance isn't done properly, it's on the edge of impossible to cash the check because it's made out to the lender, my company, and the seller(s). 

Gifting equity in a house may be more trouble than it is worth if you are not near the life-time exclusion1) Potentially having to get the property appraised everytime an equity is gifted2) Having a title company update the title every time3) Exemption of the gift tax return is normally for cash gifts below the annual gift tax exclusion, you may still need to file if you gift non-cash4) If there is partial ownership over several years, having to properly pro-rate certain items such as real estate taxes, mortgage interest and rental income if the property is a rentalBest of luck 

There is no way to absorb the costs of properly renovating a home in its entirety when you are dealing with $115K assets.