I have trust in his ability to deliver a fully rehabbed property.

I just want to clarify for anyone reading this post - The 5% down with the ability to remove mortgage insurance after your balance is paid down to 80% of the home's value is still a conventional loan.  

Ask "Just how long will you sit on the market w/o offers or the ability to close. 

unfortunately this is apart of being a landlord and your ability to show the unit when it is occupied is completely dependent on how much the current tenant wants to cooperate. 

The limited amount of information currently available would be insufficient in VA, but by no means exhaustive, of one's ability to seek an eviction on these grounds.

All depends on your comfort and experience level and your confidence in your partner's ability vs likelihood they will steal your deal.  

I should also mention that both individuals seem very punctual and organized, which speaks favorably about their ability to manage this.But as I said, not being able to see who else is in the deal does concern me a bit, so I wanted to see if that's standard or not.

I'm concerned about my existing holdings however, the anti-marijuana legislation imposed by Nevada, Yuba, and surrounding counties will crush the cash economies and significantly hurt my renter pool, as well as my ability to flip vacant land here.  

Invest out of state (but only after I was 100% confident in the team I assembled OOS's ability to execute the entire process of locating, evaluating, closing, and managing my investment)With that said, there is a fourth route that you didn't mention which, at least for me personally, is far more preferable than the three options above.

Fortunately I have a field based career that gives me a lot of flexibility and the ability to see homes almost as soon as I get wind of them.