Updated almost 13 years ago on . Most recent reply

Private Money or Partner
My private lender asked me about the possibility of a partnership, so I'd like to get some feedback on what others are doing.
I know I would probably actually make more profit if I go it myself, and just use his money, but I'd also be on the hook more. I told him, that with a partnership, he wouldn't be receiving any interest on his money until the deal closes. He said he was OK with that.
Anyway, I'm open to any and all feedback.
Thanks,
Lynn (FL)
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- Rental Property Investor
- Mercer Island, WA
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Work through the math. A loan, even at fairly high interest, is often cheaper than a partner. But depends on the exact terms for both.
Another consideration is his involvement. Being a partner may result in him being move involved.