Or you can look at it this way - you've learned nothing and still have money sitting in your checking account wasting away and I just put another $3500 against my mortgage yesterday without breaking a sweat or taking anything out of savings.

The interest rate is nice, if there was a way to increase the cash flow to ~15% or greater COC you could pull a HELOC on the property for 9% and collect the delta.again though, i would suggest selling it and trying to lock up a property or two with the proceeds that required some sweat equity, force appreciation through a reno, rent it out, refinance and repeat (BRRRR)

The profit should be split based upon whatever agreement the two of you come up with.It would be unfair for you to put in the majority of sweat equity as well as the training involved to have a 50% profit split.

Developers make money on top of what they pay builders, If I were to hire a builder directly you would think I would retain the "sweat equity" that normally the developer would take on top right?

Don't sweat any deal.

Every flip is like peeling back layers of an onion, but this one came with tears, sweat, and the occasional scream into the void.

The most effective way to do this would be a basement unit, as they tend to cost much less than backyard cottages ($50,000 - $150,000 is a good estimate for a basement unit build, or way less if you throw in sweat equity or cut corners, while a 700+ sq ft backyard cottage will usually cost you $200,000+)Right now I like Kent/Des Moines (because of the upcoming lightrail stop), Renton & Everett (low prices, good multifamily opportunity), Tacoma (wonderful place to live, few good jobs, but may be revitalized further by upcoming light rail stops and more companies switching to Work From Home), and the Beacon Hill and Hillman City neighborhoods of Seattle. 

Part of that, I am convinced, is that they need to know their landlord is not too good to sweat and stink under their sink when they're in trouble.

The buyer got an affordable home in exchange for doing the repairs himself (sweat equity), I got a cashflowing note, and my private lender got a steady interest payment.

@Nate McCarthyProfit Splits and Contributions:Dividing profits proportionally to investment (2:1:1) is common, but you could also account for sweat equity if one party is doing more work.