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Updated almost 6 years ago on . Most recent reply

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Osama Mayassi
  • Rental Property Investor
  • Toronto, ON
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Using partners on deals

Osama Mayassi
  • Rental Property Investor
  • Toronto, ON
Posted

When investing in a property using a partner, how do you split the ownership/equity in the property if the other partner provides all the cash while the other partner provides all the knowledge and hustle?

Please give your reasoning for your answer. I want to know how to negotiate with my partner.

Thank you for your response!

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Seth Ferguson
  • Rental Property Investor
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Seth Ferguson
  • Rental Property Investor
Replied

A typical JV is 50/50 if one partner brings the capital and the other manages the asset. This, of course, varies based on the situation. One thing I do see is the operations side often taking less than they should because they don't realize their value in the equation.

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