All Forum Posts by: Kirsten Puhl

The flip is in our LLC. Can I purchase using an FHA and have it as my primary residence?

Hello everyone,

I am really trying to figure out what to do with a silent partner coming on a single deal. We are getting the house for $260k. Comps in the area run about $420k. Our lenders typically do 90% LTV and 100% rehab. So he is contributing about $50k for the 10% down plus closing costs in order to make the deal work. How would you structure this? He wants a certain percent of the profit. But we are unsure. I did $50k/$420k= 11.9% return. Is this too high? Or would he technically be a 10% partner since he's funding the 10% of the deal? Please help!