All Forum Posts by: Joseph L.

Sorry I didn't clarify MAX,

I meant we might be leanin towards a joint venture for the first couple rehabs so everyone would receive a % of the profits. I believe I would have an easier time to get them to invest this way rather than a fixed interest rate.

As an example if I had 5 people all put in the same amount $, but I would be in charge of the project what would a fair % I would want to ask for? 25% of the profits off the top and then split the rest? Or do you see this being a problem?

Since this would be our first time I believe most would be reluctant to just give me money with having an input on the house/budget.

If we were to choose a fixed % of the profit how much input would you want a PI to have in the decision making? And what's a fair extra % I would receive above our capital contributions for doing most the work.

Hello all,

I am in the midst of getting my REI career started and I have about a handfull of friends who are interested in investing. I was first thinkiing of starting a company and then have them loan the company money with a fixed interest rate say 10% simple interest for a minmium of 3 months. But some have expressed a need/want to look over and approve the house/budget before lending money and then want to split profits.

My question being if you were a PI would you be willing to loan a startup money at an interest rate, or would you want to be involved in the project and then rather see a % of the profit instead of interest.

Also I am going to be holding a meeting soon with them , which topics would you suggest we hit to get everything out in the open and how would you structure the profit split. We will all be putting in money but some will obivously be putting in less time than say me who will be supervising on the job.

Well I don't want to commit anytype of fraud. I was thinking about buying a sort of fixer upper and livi in it for a yr while fixin it up and then renting/selling it off but can't seem to find a good one in the area I want. Besides looking on MLS and CL what tools do you guys use to find good property? I don't want to own/live In a crappy duplex slumlord style.

Hello,

I was told since I don't any property I could do s conventional loan for a property and say it's my primary residence and then I could immediately rent it out without having to live in it. This would be my preference as I would want to only put the minimum down instead of 20-30%.

Is there any wrongful liability that could arise? I read sometimes that you need to live in the place for a year to get owner-occupied loan rates is thst true? I am in Florida and if anyone could point me in the right direction to gather more information that would be appreciated.

Looking forward to learning and owning properties soon.

Thanks,

Joe