Partnership with No Value Add

[Steven Burke]

Good morning!

I'm a beginner in real estate investing and I'm looking for my first deal. My local market is extremely hot and 2-3 bedroom SF houses around 1000 sq ft sell for a minimum of 175k. There is a 2/1 apartment that came up for sale recently priced at 118k. We looked at it yesterday and it is in good shape, so there is little to no value add opportunity in this property. It would produce a cashflow of $175-$200/mo with a COC of 9-10% (something that I would be okay with).

I am looking to partner with my dad on my first deal because I don't have all of the cash for a down payment. My question is - how would you structure a partnership with a non-value-add deal that produces $200/mo on a ~$26.5k down payment? All of the normal methods don't seem to produce much return for my dad, and even if he got 100% of the cash flow it would take 7+ years for me to see any profit. Any ideas on this? Thank you!