How would you structure an owner occupy partnership?

[John McConnell]

If you were to start out in a small owner occupy multi deal would it be beneficial for someone to partner with another investor?  How would you structure the deal?  How would the cashflow look (would there be any tax benefits)?  Would there be any reason you would NOT do a deal like this?

[Jay Hinrichs]

We used to do this in Silicon valley Palo Alto in the mid to late 80's when RE spiked for the first time.

you needed 20% down in those days and will prices going north of 300 to 400k back in the mid to late 80s in Palo Alto Cupertino etc.. it was common for a partnership on SFR;s

the one living in the home got the loan and paid the payments etc.

the equity partner provided capital ( downpayment) it was for 5 years.. house was then sold and equity split..  Owner occ got tax bene's  or they could just pay the equity partner back their equity plus profit and they owned the home.   many were done this way.. Not sure lenders would go for this set up today.. but that's what we did when the first down payment crisis hit.