100% financing with 50/50 split on net profit

[Vishal Parekh]

I am offered 100% financing with 50/50 split on net profit with private investor. Is this good deal to go or not? I don’t have to pay even a dime for rehabbing. Whats your thoughts? Good to go or need to think?

[Greg Dickerson]

Originally posted by @Vishal Parekh:

@Greg Dickerson Yes I agree your 7-10% return. But as new to rehabs its hard to convince investors at these return.

How do you find your private investors at 7-10% interest rate? Whom do you approach for getting this kind of return? Would you like to share?

Networking, relationships and reputation. They approach me through referral and reputation. It takes time to develop relationships with the right people. 

Keep in mind most Hard money lenders are raising money at 7-10% from investors and marking it up to the end users.