Deal or no deal for passive investor
I am doing more income stream deals and want to know if this is a good approach for a passive investor for a jv partnership deal. Any inputs would be appreciated. We are putting a tenant buyer in the house for $5000 down and $895 per month. purchase price $110,000
Investment $75,000
monthly cash flow for investor (roughly) $500 a month
1-2 years collect the monthly payments until the date of sale.
At which point they get their principal back plus (roughly 10,000-15,000)
It's a jv partnership deal...not a lending deal. I've done jv deals on flips, not on rentals or rent to owns. Advise (even brutal in need be) appreciated. Is it a good deal for the investor? Any adjustments before approaching?