House Hacking the the House Hacker

[Donnell Durden]

I believe on episode 193 with Steve Garner And Brandon mention partnering with others that the bank likes to invest. He had mentioned how he would partner with people with more money and better credit. He would let them get the mortgage in their name and have his name on the title or note or whatever it's called. Splitting profits how they saw fit. What if... I could provide the down payment for first time home buyers who intended to house hack. I put the 4% down in return for a part of the action.. Is this doable?

[Sam LLoyd]

The banks look very closely at who is borrowing money, especially for residential.  The Bank is going to want to know where the borrower is getting the money.   It is possible to 'gift' the money to them, but there are limits to this.  Then, you have to work on your partnership agreement so that both parties are happy, and your ownership percentage is equitable.

That's a long way of expressing my thoughts... I'll try to put them more simply.  1st.  I don't think you'll be able to get a bank to go along with this, without hiding something.  2nd.  I don't think there is enough potential gain in this scenario to make it worth working with someone who cannot find 4% down themselves.  Those are my thoughts.