I am reaching out to inquire about the subletting policy for corporate leasing opportunities I am interested in exploring the potential for flexible rental arrangements within your properties.Could you please provide me with information regarding your corporate leasing policy and whether it allows for subletting or alternative rental arrangements?

.- KarlHi Karl, see if you can work out a temporary payment plan or partial rent arrangement.

This way in case of “default” we don’t need to go thru foreclosure, or bankruptcy litigation since we already own the property on a sale/leaseback/option arrangement.  

We arranged closing during a slower period of time & had him leave everything (furniture, inventory, guides, etc.) literally bought it & could start taking booking the same day.

Given today’s interest rates, a highly-leveraged arrangement (where you’re putting 3% or 5% down) probably isn’t going to generate any cash flow, so unless you’re comfortable with injecting money into the deal every month, I’d recommend accumulating more cash before you start investing.Generally speaking, a good place to begin is when you have enough for a 20% down payment, closing costs, and 3 to 6 months of reserves.

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.

Next, arrange a site walkthrough to pinpoint any additional needs or potential challenges.

Didn't think our Realtor did anything special other than arrange showings for house we were interested in.What type insight are you looking for?

Consult an attorney and tax advisor to structure the arrangement legally and effectively.This post does not create a CPA-Client relationship.

Are there any verbal agreements or arrangements between the current Landlord and Tenant?