That being said they will want you to have some skin in the game.

Hard money "asset based" lenders still require that you have skin in the game.

You must have skin thick enough to deal with that and not sweat the small stuff.

If 40% is what it takes to get the capital, that's fine, but in my opinion that's pretty rich to the money source when you have 50% skin in the game.

It also allows him to get his refinance ready to take you out as part of the refinance so he isn't coming out of pocket for that.For him you are keeping some skin in the game when you initially rent it so that he knows you are placing a quality tenant(even though you would anyway that's what I would tell him).

However there are more than one way to skin this cat.

As long as things are structured correctly and there is alignment with skin from the other partners you trust then I think this is close to the best of both worlds.

There is always other ways to skin a cat.....

Why would you have a partner who doesn't have any skin in the game?

That's why I want to make sure we both win, not like I'm just paying him a wage.I suppose it makes sense to start out with me 100% in control, and when he has some skin in the game, then we can work out different numbers.