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Updated over 4 years ago,

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Angelique Weber
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How to split profits on house flip?

Angelique Weber
Posted

We are a little new to this so I was curious on how profits would normally be split. Haven't bought a house yet but still writing up the contract. Without one one another, we would not be able to complete this project. Here is a quick summary of what everyone brings: 

Partner 1

-qualifies for the home loan

-25% down payment of home loan

-20% work on the house (little knowledge of construction and will learn from partner 2), works part time

Partner 2

- 80% of the flip construction, working full time

-finds the deals with realtor friend 

-25% down payment for home loan

-15k investment for repairs

Partner 3 

- 50% down payment for home loan

- 15k investment for repairs 

- will keep track of all receipts / costs

Any advice would be helpful. It seems that partner 2 should get paid the most then partner 1 then partner 3. But how much is the question. Thank you.

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