Updated over 4 years ago on . Most recent reply
Options to payback investors
Hey Guys,
New to bigger pockets, new to real estate investing. Apologies if I dont use all the terminology correctly but looking for some advice. My friend and I have a 50/50 partnership in our LLC and we are pursuing cash-flowing multihome deals. We have a property that currently doing well and we posted online we got a lot of interest from our friends who would like to do something similar in a passive manor with us managing the property. All in we got about 150-300K that we could raise if the right deal came long. Without going the full on syndication route ( that opens up a whole can of worms with the SEC), how can I use their money to buy our LLC more properties while adequately making it lucrative for these individuals in terms of a return. Below is the only Idea i have, and I honestly dont know the legalities of this option and if this is too close to syndication. If there are other options let me know. PS. I want to limit the equity in the property to just me and my partner. I would pay off these individuals w/ interest.
1.) Giving these guys 10-12% interest on there loan and then paying them off in 2 years through a refi, then me and my partner would keep the property no strings attached. Is this possible? What other options?