How to carefully vet a house flipping partnership

[Account Closed]

Hello Fellow Investors!

I have an opportunity to invest in a house flipping opportunity in Southern California with a partner that has 5 years of flipping experience. The deal has a 10-12% projected ROI and is expected to be completed in 3 months.

This is my first foray into flipping so I would really appreciate if you can educate me on the type of questions and documentation (if any) I should be asking for to mitigate my risk.

Thanks all for your time & guidance.

[Greg Dickerson]

Originally posted by @Account Closed:

Hello Fellow Investors!

I have an opportunity to invest in a house flipping opportunity in Southern California with a partner that has 5 years of flipping experience. The deal has a 10-12% projected ROI and is expected to be completed in 3 months.

This is my first foray into flipping so I would really appreciate if you can educate me on the type of questions and documentation (if any) I should be asking for to mitigate my risk.

Thanks all for your time & guidance.

In addition to the comments you have already received the biggest question is how is your money going to be secured? If you are passively investing you should take a note and deed of trust Guaranteed by the flipper and also require proper insurance as well. This will protect your investment and insure you get aid first no matter what happens. Makesure to take all of these suggestions and have your attorney draft all of the documents and security instruments.