Ideas on structuring a real estate deal
Someone I know and trust needs $7k to finish a real estate transaction. House is under contract but initial lender backed out. He's now talking to another lender and he has $13k for the required down payment but is $7k short in 'required reserves'. He has 4 other properties and needs about $25k in the bank. Obviously there are plenty of factors to consider. My question is regarding potential creative ways to structure an agreement. Any thoughts or advice? He's open to offers. I could just make a straight loan to him. Or, create a partnership of some type where we split profit, heavier to him since he'll do all the work. Or some type of hybrid.
Any ideas or suggestions would be much appreciated. Thanks!