I am aware that this is not a FNMA regulation, but knowing this does me little good if the lender has an overlay with a stiffer requirement. 

If you go to the link below and go to page 10 of the PDF, HUD regulations make it clear that the "gift" has to be a true gift and there can be no expectation of repayment (i.e., making a private loan). 

Just that it is not the point of my warning below.Selling shares to members of the public is highly regulated by the SEC (in the USA) and by the state equivalent.

Yeah, I checked w/ our local Fire Marshal's Office but was told they only regulate commercial properties, not private.

If I was just starting out, I would do a short term gap funding or flip funding to watch and learn the process while securing my funds in a semi-safe environment.

Assuming your refinance time doesn’t line up with an environment or situation where refinancing simply unavailable and you lose the property outright.

That seems like a rather ambitious way to get started in real estate - new development, of a type of property/residence in which the regulations and zoning are unclear.

It doesn’t have to be scary, but you do need to follow the regulations very carefully.

My lease states that the water utility bill, while in my name due to city regulations, is their responsibility.

In a rising CAP rate environment (just like in a weakening residential housing market), you can increase cash flows and still see a decrease in value of the asset.I call it out only so people always remember that math works both ways and the mechanics behind small residential and large multifamily aren't really so different - forces outside our control still dominate.