Would a six month lease with six payments and a deposit up front, transitioning into a month to month agreement be any safer for the owner?

Trust and can I breakeven/profit from the setup?

The end of the oil economy is upon us... and it will be a volatile transition.

So here are the numbers:Purchase: $65,000Rehab: $48,000Holding, closing costs & misc: $19,000Sale: $172,000Net Profit: $40,000ROI: 35%Some pictures of the finished product:

Also remember if you sell the new home after closing you have agent fees and closing costs which will eat away at your profits.

Connected Investors can be a source for funding but learn other profit methods.

@Jake Parks - If you're pooling money together and providing a return for people/there is an expectation of profit for someone else and that other party is not involved in the decision making/management of the deal , then you are creating a security and the answer to your question is a resounding yes.The big thing you have in your favor with partnering up with family and friends is that you have a relationship with these people already and that's the biggest thing that the SEC is looking for.

Investors are always looking for:Doing more deals at once (quantity/capacity)Getting more profit per deal (margin)Doing deals faster (time)

Our PM handles this transition for us.

I take what I feel the ARV will be minus any liens minus Buy, Hold and Sell costs minus estimate for the rehab minus an unknown contingency since most of these you cant get inside the property to look and then minus a reasonable profit margin leaves me with the most I can offer.