The first new build I have been involved with.

The first new build I have been involved with.

@Bruce Harding,The $50K limit applies to participant loan you personally can take from your 401k.

Our regulations allow tenants to file for rent rebates in cases involving reasonable enjoyment.

I would NOT get involved in that.

They don't get deferment initially...and the whole step up at 5 and 7 goes the window because it doesn't apply.

In reading all of your posts, I'm seeing it's a lot more involved than just simply, "should I form an LLC or not?".

If I were you, I would write down all the monetary outlays and the potential work that will be involved in acquiring/rehabbing (if needed)/managing the property and realistically how much time and energy each partner is willing and able to put into the project, and then sit down and have a discussion about how even or lop-sided this deal is for each party.

I try to apply those same principles in deals I'm wholesaling.

When the allure of owning real estate wears off, they start to realize that, but their exit strategy will most likely involve losing money unless we're still in this passive cash flow investing mania we are in.