Hey Bigger Pockets! I custom build and remodel higher end properties in the northern Atlanta neighborhoods, mainly Brookhaven. I have the following scenario for investing with a couple of pictures of a recent project and want to get your thoughts. The purchase price of the existing homes are in the 200s to 300s depending on their location in the neighborhood, size etc. Most of the ones I look for are in the $230-$280 price range. These houses start as brick ranches, 3 bedrooms/2 baths, and I will add square footage to the main floor and then add a second floor. This gives the first floor comfortable modern spaces, not the small older living rooms all ranches had, open kitchens with custom cabinets and high end appliance packages, and master suites with marble baths. The second floor will have some kind of loft/play room for the kids and 3-4 additional bedrooms and 2-3 secondary baths. Renovation costs are in the $150k to $180k range for a total out of pocket cost around $400-$450k. The sales prices for this level of home are above $550k, as much as $650k for the larger square footage homes and nicer lots, and typical real estate commissions are 6%. Given there will be closing costs and carrying costs, and the project would take 4-5 months to complete, do you think a 50/50 split between the builder (me!) and the investor is fair? I would do the ground work, find the house, coordinate all the work through to closing, and the investor would put up the full amount of the purchase and renovation. I don't get paid during the project and we split the profits at closing. It's a good deal for me, and in my opinion for the investor. I could turn his money twice a year depending on how quick the sale closes and that would increase his annual ROI. What are your thoughts?