BRRRR Financing with Partner

[Sarah Linkenhoker]

My husband and I just went under contract this week on a proposed BRRRR. This was done with the verbal agreement of a partner that we have been talking with to help with financing.

Since going under contract, the partner has gotten cold feet, but is still willing to help out. Previously, the plan was to keep the property under a shared LLC with him at the end, but now it doesn't sound like that is going to meet his long term goals. He willing to help us finance the project, but not necessarily be in it for the long run.

In terms of the options for financing, he is willing to help us for the down payment on the project, but looking to leverage his relationship with a local bank where we have discussed a construction loan to handle the rehab costs. 

I'm feeling that the financing is going to be very convoluted with the way this is working out. Can he take the loan out without being the owner of the property? Or can we put him and one of us on it and then refinance at the end to just be in one of our names? I honestly think for us it will work out better in the end to own the property without a partner just wondering how to structure this up front becuase we won't be able to fund the project without him.