Looking for an innovative strategy for everyone in deal

[Dave S.]

Thanks in advance for taking the time to read this.

So here is alittle background, friend would like to partner with me on a deal. Not sure what that deal is but we are thinking we would purchase a 2+ unit together. The caveats are that he would reside in one side and he only wants to reside in the place for 3-5 years. 

So the first thing that came to mind is that we would do a 50/50 deal. Where we would split everything down payment, expenses, rehab, etc.. However if he is living in a unit, that isnt really 50/50. So I believe I would pitch it where the 1st unit would be my responsibility. If he moves out, he would take on the 2nd unit and we would be truly 50/50. Obviously if we found a larger property we would split those unit's expenses and incomes from the beginning. 

One of the benefits from my side is that we can utilize a low interest rate and small down payment cause he would be living there. Not sure how we would legally structure this and still get that benefit though???

Benefit from his side is that he has a place to live in and flexibility to move (and then rent out) his unit when ever. Also benefits both of us cause we can get a larger place by splitting the down payment.

So I would like to do a deal here as 50% of nothing is nothing, so Im trying to think of other strategies that may benefit us both. Any other ideas?