Subject 2 - Suggestions for Partner Split, Setting Up LLC, ReFi

[Justin Brink]

Looking for feedback on a "subject to" deal.  A family member of a friend, 'wants out.' I will take over payments and rent house (vacation and long term - it's a multi unit). Ex. house is worth $150k with 100K still owed. Here's where I could use feedback:

1. Is the 150k selling price with 50K in equity coming back to family member after the re fi, how I should be thinking about this? Simple, in theory, right? (Exit strategy: will sell if 'due on sale' clause is engaged)

2. How long before 'seasoning period' to ask lender for refi?

3. I am considering the friend as a partner because he is the connection to the family member and I think he would feel more comfortable being involved. Besides, I like the idea of navigating a partnership for future deals. What is the most efficient and effective way to clinch a re fi if we are partners? Should we create an llc (tax benefits?) or should I do the deal on my own because it may be easier to close the refi? I already have a primary residence (multi fam) in my name and a 'second home' in my name. Could I (would I want to) get another mortgage in my name?

What am I missing? Thanks in advance for your help!