If you are looking for straight cash flow, say as a retirement income source, you're going to evaluate markets very differently from someone who's in an equity buildup phase looking for max appreciation.BTW, thanks for starting this thread, I enjoy all of the various comments from around the country.Erik

Your entity (say, a simple LLC treated as partnership) has a separate bank account.

If the person taking the loan used something else for collateral, such as their residence, then I would say a 50/50 split was correct.

Could change depending on the market and the amount of rehab, but 3 is pretty close where I am now if the rehab is fairly standard, say a month give or take. 

If liability occurs on the property, say a slip and fall, they sue the trust via the Trustee. 

I have to say a partnership agreement is THE defining agreement that protects you, your partner, and delineates all responsibilites of the parties, including what to do when you cant agree on things, and what happens when you want to break up the partnership.

It also includes the cushion that i have for lowering my sales price to account for the fact that some buyers may not qualify for a $150k purchase, but may for lets say a $135k one.

Many times the income and expenses from the entire operations are lumped together and the seller or broker says the property is priced at say a 10 cap.

Yes, it 'IS easy for [us] to say, as most of us have probably 'been there, done that.'

A public record search can be done but it is difficult to fully investigate and determine what issues exist if any.Let’s say a tenant falls down the stairs on May 10 and you buy the LLC May 15.