I received a bachelors degree from Mercyhurst University and have wrestled from pre-school all the way through college. 

Based on my experience coaching investors with my husband, who was a realtor many years ago, I strongly advise that, regardless of whom you work with, you meet the team, conduct thorough market research, get an appraisal, schedule an inspection, and also arrange for a site visit.

Investors aren’t acquiring fractional property ownership but are instead buying income rights, meaning the arrangement avoids triggering real estate co-ownership laws or property title issues. 

@Tom Hall It is my understanding that if you talk with your mortgage company first and make the necessary arrangements you can recast your mortgage to get a lower payment by paying down a chunk of the mortgage at once.

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.

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

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?

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

I aim to make win-win arrangements for both buyer and seller.

I have clients that have these kinds of arrangements, and while it is easier when an org fills your units, you can lose control of maintenance and cleanliness.