Private Lender to hold title/deed.

[Michael Cox]

I have a question about private lending? Say I come across a property for 150,000. I only have enough money for 10% down, $15,000. At the same time, I have a good friend who could loan me other 10% for the down. Doing the comps and calculations for updates to the property, it would be worth $300,000 ARV.

In this situation could I have the private lender hold the title/deed while I held the note and re-payed the bank? And then, when the time came to cash out refinance, pay the money owed to the private lender plus interest and have the title/deed transferred to my name?

I'm asking this because if the repairs and upgrades took longer than a year the private lender would feel like they are not getting their money's worth for the investment, but if they held the title/deed at least they would have ownership of the property till the debt is re-payed.

Is this something that can work?

Thank you all for your comments in advance.