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Updated almost 5 years ago,

User Stats

17
Posts
7
Votes
Jon Marois
  • Red deer, Alberta
7
Votes |
17
Posts

Private money - how much cashflow to give away?

Jon Marois
  • Red deer, Alberta
Posted

I have a solid deal with a private investor supplying the cash for down payment.

The cashflow is around 8.5% Cash on cash.

How much money should I be giving him for his 100,000 promissary note / investment ?

Is it worth giving away all the cashflow for a short period of time just to secure the deal. That leaves about 500$ for myself annually. Property has good reserve and ability to carry itself. In 2 or 3 years I can refinance and pull equity from other properties to pay our the investor and move on ?

Any help would be greatly appreciated ! Thanks guys !

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