Multi family investment with a partner

[Jimmy Mozingo]

I’m a new investor and have an opportunity to partner with a fellow novice investor to buy a multi family unit. I have a basic understanding of how partnering works, but am completely open to any and all advice, comments, concerns or criticisms when it comes to investing. I’m sure I will have a RE lawyer involved in the specifics of the partnership itself but beyond that, what potential pitfalls and or windfalls can I expect? 

[Blake Dailey]

@Jimmy Mozingo Partnering is a great way to combine forces and tackle the issue together, splitting resources and effort. If you create a partnership you will want documentation reflecting that. If you go on a deal together, I would recommend filing for an LLC and you will both be members of that LLC. This is super simple and you can do it pretty quickly online with providers like LegalZoom and Zenbusiness. Once the articles are filed with the state, you and your partner will draft the operating agreement to outline the duties and responsibilities for each partner. I have used Zenbusiness and it provides this basic document that I update myself. I would then get it reviewed by an attorney for maximum protection. This will protect you both with written, agreed upon responsibilities so that you have accountability and legal protection.