Do you think this is fair partnership? creative deal

[Wesley McDavid]

Good day everyone!

I wanted to run this creative deal by folks and get some input as to whether or not it seems fair for both sides.

A partner and I are going to invest in a short term rental together. We are looking for a property with a large house to be the rental as well a small unit for her to live in (adu, cottage, etc.).

She will live on the property keeping an eye on everything, as well as doing all the cleanings, assisting with check in/ check out if need be, and any light maintenance. Since this will be her primary residence we will utilize an FHA loan at 5% down.

I will be supplying the capital for all down payment, closing costs, furnishings, and reserves.

Instead of rent, she will pay me back for half of the down payment and closing costs over 2 years at 0% interest.

After 2 years we will both be 50% owners of the property.

With this arrangement, does it seem fair to split the profits of the rental 50/50?

Me: --All start up costs  --listing, web based messaging with guests  --good income and credit

Partner: --FHA loan --looking after property --cleaning --listing, web based messaging with guests

Of course there are many other factors to keep in mind but these seem like the major ones.

Thanks for any insight, advice, or concerns.

Stay Well