Best Partnership Agreement
Hi Everybody!!
I am looking to buy my first house but all my monet that I have saved over the years I invested in stocks and its about 35K. I was planning to take this money out and use it for a down payment but than my friend said that he has some money saved sitting in his savings account and not making any money for him. He came up with an idea to give me money for down payment and we make partnership to buy first house. He would invest 20K for down payment and I would take mortgage to pay for remaining 180K. I still didnt come up with some quality idea how to structure this partnership. I was thinking to pay him all money that is left after we collect rent and pay for all expenses until he gets 26K which would be 30% return on his investment and I believe we would be able to get this amount in 5 or 6 years.
Maybe some of you had some experience with similar situation and can help me with some advise and suggest some other option to suggest. I would appreciate any comment and thank you all in advance.
Jozo