I want 20% for profit so divide 88%/1.2 to get 73.33%.I assume a possible 6 month buy, fix, and sell time and so estimate property taxes, insurance, and utilities for the period.

GP manages and assumes 100% liability while LP(s) only risk initial capitol and are not involved in day-to-day operation.

(assuming 15% discount is bottom line in first round)

Anthony, welcome, I see you are a commercial loan broker so I assume your clients have commercial loans and transfers to a business with a personal guarantee are rather a moot point.

The current mortgage is $168k and the amount owed is $164k, so basically I would assume the mortgage for $4k.

We certainly have some good companies represented here but don't assume that because anything here that might be advertised has any endorsement you need to do your due diligence on anything you do in RE.Turn key operations can be ripe with fraud or scams, there are those that have picked up very cheap properties, put lip stick on, put a partner type tenant in at higher than market rates to justify a much higher price to sell the package.

I assume you can't structure your trading income as a salary with a bonus relative to profit with the person providing the capital (and maybe a forfeiture of salary if you don't make anything..)?

The lender MUST approve the land contract or the accellaration clause kicks in.Second: the lender can transfer the mortage to the buyer (assume the mortage), then the seller can take a second note for any balance due the seller (if any) .Bottom line is , if the property is not free and clear at the time of a land contract, red flags everywhere.The State that I live in treats a land contract as if it is a mortgage.

I am assuming the roof is original and will have to be replaced sooner rather than later.

Assume loan but then mess up my DOI???