Partnership investment percentage

[Dave Schimmels]

Question: If I asked a family member for a $25K  down payment on a $100k purchase and offered a 15% on his investment, but were to hold the property for 3-5 years. Would you compound the 15% yoy? I think obviously the value should be definitely higher and refinance if applicable to pay back his 15%. I hope this makes sense for someone to answer. I'm a new investor trying to gage  in another purchase in the future. 

Thanks