All Forum Posts by: Takira Smith

@Account Closed that's exactly what it is that we are disagreeing over. The contractor doesn't exactly work for him but for his company and he's basically stating I need his guys because they will offer an estimate no other contractor can beat and for that, since he's getting me a deal, he deserves 50%. He isn't the one actually doing all the work. He does not have a buyer either. He merely has "access" to a contractor.

I guess all I want is an understanding of how much that can possibly be valued as opposed to my financing the purchase, renovation and then being an active part of staging the property for selling. Is him bringing the contractor in really worth such a split?

Here it is. I came with the idea saying that I am interested in investing my money into real estate. I want to start off small and eventually build a portfolio. He's a property manager for a cooperative development. He has contractors that work under him. He comes to me like how about we partner up. I've got a contractor that can get the work done super faster and cheaper than any other contract bid you get (bigger profit). They work for me. The thing is I don't have the money nor the credit to finance it. But, you do. So, how about you finance it, I get the contractor and we split it 50/50 if you take you initial investment off the top and 60/40 if you don't. His main responsibility is the construction.

The entire idea is my own. He has contractors that he can use that works for him and believes that because of this, it warrants splitting 50/50. I will also be overseeing and helping with staging the property for selling. I'm not merely just handing over cash to get the property. However, I do believe that I have the biggest liability.

Hello,

I am entering a partnership to flip houses. However, we are not yet on the same page as to how the profits should be split. I would be the person fronting the money. Thus, I have the financial risk. He would be the person bringing in the contractors that he knows. He says we should use his contractors because they would provide more reasonable prices and shorter renovation time. I would merely be supervising the renovations and helping with some of the decision making. At the end of the day, I don't believe him bringing his contractors to the table warrants a 50/50 split. Perhaps, there is something I am missing. So, can someone enlighten me as to what may be seem fair and reasonable? Thanks!

@Aaron Montague, thanks so much for the information. 

@Raj Gandhi, thanks for the advice.

Thanks Nicole. I am an attorney that makes a pretty decent salary. In addition, it will be a partnership venture. One of us is interested in flipping while the other is interested in the buy and hold option. I've sat down with a mortgage specialist and pretty much have an idea of what I may be approved for just by myself. I'm just not sure of what property I should looking into as this is my first property. I just don't want to start with a rather expensive property until maybe after the first or first couple.

Thank you!

Hello,

I'm very new to the investment world. While I have spent the last six months doing research concerning real estate investments, I have yet to actually purchase my first property. Although I have been doing a  great deal of reading and speaking with others, I have yet to get an answer I guess I am comfortable with. I prefer my first investment property be a first family home fixer upper. I would like to know, how much money, on average, would I possibly need to buy my first investment property? Thanks!