Joint venture with solo 401k

[Logan Turner]

Ive reached out to a few real estate attorney, still awaiting a response. So I wanted to run it by some pro investors on BP. I am purchasing a property through a JV. My LLC will be the active manager, my partner will supply the funds via his self directed solo 401k. Should I seek out a security attorney? Estimated cost? Will we need to form a trust which my LLC and his 401k both have equitable interest? Do we need to open a new bank account for this trust, or will my business checking account work? I’ve done private lending and understand that dance and I’ve attended a syndication seminar but seems overkill for a SFH- flip. What’s the cleanest, cheapest and best way to do this? Basically just splitting profits 50:50 Thanks

[Carl Fischer]

@Logan Turner

The easiest or simplest way is a commercial mortgage, from the 401k, to you/LLC with the property as security . It can be structured to have a kicker at the end but will definitely need to have an interest rate and note associated with it.