fix & flip houses
New to Real Estate · miami gardens · Member since 2025 · 3 posts · 2 votes
fix & flip houses
4 Replies
- Real Estate Agent · 11440 N Kendall DR, Suite 405 · Member since 2026 · 10 posts · 1 vote2mo
If you are looking at a hands-off or semi-passive flip structure in Miami, I would spend most of the time underwriting the operator before underwriting the deal.
The structure can vary: private lending, equity JV, profit split, assignment/wholesale-style deal sourcing, or a coordination role. But each one carries a different risk profile. Bringing capital is very different from bringing a deal, and both are very different from being responsible for permits, contractor coordination, timelines, or resale strategy.
For Miami specifically, I would be careful with a few items before getting into any passive flip partnership:
- Who controls the money?
- Who signs personally on debt, if any?
- Who is responsible for cost overruns?
- Is the renovation scope permitted?
- Are there open permits or code violations?
- What is the real contractor budget, not the optimistic one?
- What happens if the project takes 4–6 months longer than expected?
- What are the insurance costs during the hold period?
- What is the exit plan if resale value or buyer demand changes?
- Is the operator showing actual closed deals, not just projected numbers?
For a passive capital partner, I would usually want the agreement to be extremely clear on decision rights, draw schedule, reporting, lien releases, change orders, budget overruns, profit split, downside protection, and what happens if the deal needs more cash.
In Miami, the “spread” on paper can disappear quickly if the scope is underestimated, permits drag, insurance is higher than expected, or the resale comp was too aggressive.
My opinion: start by partnering with someone who already has a documented track record in the exact submarket and property type you want to invest in. A passive role can work, but only if the operating partner is strong and the agreement is written for the bad-case scenario, not just the best-case profit projection.
Curious whether you are thinking more like a private lender, equity partner, deal finder, or project coordinator, because each one should be structured very differently. - 2moRobert EllisBusiness MemberDeveloper · Miami, FL · Member since 2014 · 3k+ posts · 1k+ votes
Quote from @Gerald Ruiz:
Looking to connect with experienced fix-and-flip investors or operators in Miami. I’m interested in a hands-off role and open to structuring deals where I can bring value through capital, deal sourcing, or coordination. I’m especially interested in learning how people structure passive or semi-passive flip partnerships, joint ventures, or assignment/wholesale-style deals
One thing that stood out is you mentioned wanting a hands-off role, but there are a lot of ways to be "hands-off."
Some partnerships still expect the capital partner to make decisions every time the budget changes or the timeline slips. Others are almost entirely operator-driven with regular reporting and predefined decision points. Those can feel very different even if the profit split looks similar on paper.
Before comparing deal structures, I'd probably spend more time figuring out what level of involvement you'd actually be comfortable with when something doesn't go according to plan. That answer would narrow the right partnership pretty quickly.
Are you hoping to stay completely passive, or would you still want a say in major decisions if a project started going sideways?
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Quote from @Gerald Ruiz:
Looking to connect with experienced fix-and-flip investors or operators in Miami. I’m interested in a hands-off role and open to structuring deals where I can bring value through capital, deal sourcing, or coordination. I’m especially interested in learning how people structure passive or semi-passive flip partnerships, joint ventures, or assignment/wholesale-style deals
Good mindset, fix & flip partnerships usually work best when everyone clearly sticks to their lane (capital, deal flow, or execution) and the numbers are tight from the start. One thing to consider is not limiting yourself to one high-cost market like Miami, because a lot of semi-passive investors are actually structuring deals in Midwest markets, where spreads are wider and execution risk is lower due to lower acquisition costs. That makes JV's and hands-off flips a lot easier to underwrite and scale.
- Investor · VA · Member since 2015 · 21k+ posts · 19k+ votes2mo
Out of curiosity, why only Miami? When you mention hands-off, I view that aspect of providing the capital, or potentially the deal. How those are structured can either be as debt or equity, really dependent upon the sponsor as well as your requirements. I have seen JV deals that are split 50/50, where one provides funding and the other provides the management oversight. I've also seen it structured as straight debt, where it's an interest-only loan for a period of time.
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