Structuring the Deal with a PartnerWhile your partner cannot directly participate in the loan, there are ways to structure your arrangement to reflect your 50/50 partnership:Option 1: Post-Purchase Equity SaleYou obtain the 203(k) loan in your name as the owner-occupant.After closing, you sell your partner 50% equity in the property via a quitclaim deed or similar legal instrument.Your partnership agreement would outline each person’s roles, responsibilities, and share of profits.Note: Be mindful of FHA’s rules around title changes and ensure this doesn’t violate loan terms.Option 2: Partnership Contribution AgreementYou both contribute to the down payment and renovation costs as outlined in a partnership agreement.Your partner’s contribution could be recognized as a share of the equity in exchange for funding, services, or property management.The partnership agreement would detail how profits, responsibilities, and equity are split.Option 3: Joint Venture AgreementStructure the deal as a joint venture, where you own the property personally (required for the FHA loan), but profits and roles are split per a formal agreement.Your partner could receive equity-like compensation through profit-sharing without being on the title.3.

Hey Andy one of the keys to profitability as a landlord is quick turn over. if you where renting your unit out for $2,000 a month and waited 3 months to get someone in.

With a loan of say 350k, and paying property management, it should still provide net profit of about 4k to 7k a year in year 2.

Or the assignment profit is better than the flip profit.

Purchase price: $160,000 Cash invested: $30,000 Took this home from bad to glam in 1.5 months for a healthy profit.

What makes it slow in this case is that you don't really start seeing real cash flow until after year five but it's more effective than rentals in that there is little to no maintenance.Sure you can live in a home while fixing it up with the intention of selling it for a nice profit later but I think many people are already doing that and the buyers of slow flips now also have that opportunity without having to qualify with a bank.

But not necessarily purchased below market value”market value”.Look, some of the “best” (most profitable) property I bought were purchased at market price - value, because the market didn’t recognize the value I was able to see, or didn’t have the information I had.  

I believe it is a larger issue than what we define as the economy, which is mostly measured in corporate profits and Wall Street performance, this is not what the average person perceives.

This decision not only maximized immediate profits but also enhanced positioning for future investment opportunities, demonstrating adaptability and a forward-thinking investment approach.

He's had two successful flips so far and after this third one he's looking to pay off the HELOC and roll the profits into his future flips.