I'm not a lawyer, but issues arise where partner could sell share to stranger, potentially force a sale, who pays repairs, turnovers, & mortgage during vacancies, credit ruined if you're co-signing and other one doesn't pay timely, tax liability, etc.

Such will also add value to the note with most buyers, at least in thier confidence as to the quality.Liability arising out of any note origination survives the term of the note to statutory periods, 3 or 5 years usually.

Since the owner is leaving, I'd try to get title with a Sub-2 and then lease it as that will give you the authority to make repairs, improvements, contract labor, address assessments and any legal matter that arise like code violations.

Buyer agrees to obtain a policy of title insurance at Buyer's expense at the time of settlement.There should also be provisions in the event any unknown title issues arise.

Also, we don't currently have a real estate lawyer to go to if problems do arise, so it will make me feel better to have someone to call for any future legal issues.

I am trying to get as much cash out of it as possible and found a lender that can do 70% cash out refi on a rental property. net cash out would be around 80k.here's where the problem arises..1. nothing under 80k these days. those cash flow very little at around $1100 rent2. do i put it in the stock market?

You are facing very deep pockets should a challenge arise.

Of course there are variations, problems that arise etc.

If thats what your looking for, grab the lowest guy and save $$, problem is, when issues arise which they always seem to on these lowball bids, that guy is either long gone or tells you it wasnt in their bid and all of a sudden, their price to fix the additional, isnt so cheap anymore.

Instead of having 8 million debt exposure which they see as too much they are happy with 2 million or 3 million relative to their situation.The numbers just get bigger but the same questions arise with how much debt to take on but the structures get more complex.