Hello Bigger Pockets!
I am about to start my first flip in Bakersfield, Ca!!! I have partnered with a couple that has been doing this for years, whom I trust and am excited to be able to learn as much as possible from them.
We set it up to where I will be getting a loan for the house($150K) where i will only be putting down 20%. My partners will then put in the money for all of the repairs, which should be in the 20-30K range. I would obviously be the one carrying the loan and at the end we would split the profit 50/50.
My question is whether or not anyone on bigger pockets has done this kind of deal before, and if so, is there anything that I should be aware of? I do not have the capital to do the entire flip myself, and am wondering if anyone has any advice or insight into this kind of deal and if there are any steps I should take to ensure i don't get screwed!!! Even though my partners are my friends and I trust them, this is business and business can get ugly at times!
Thank You in advance for your replies!
It sounds like a decent way to start with your first flip. It's close to being equal on the amount of money put in by yourself and them. Plus, it will be a great learning experience for you. I hope all goes well for you and that this becomes your first of many investments! :)
Remember that if loan is on your name, you are taking bit higher risk since you will be liable for the mortgage.
Have you thought about title? Are you keeping it on your single name or joint?
Good luck with your first flip.
Hello, curious to see if the deal moved forward or how things are going. I'm interested in flipping as well and still just soaking up as much info as I can.
Partnering with experienced flippers sounds like a great way to get started.
Please keep us posted with your progress if you are able to.
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