Home currently for sale at 180,000 buyer (not me, acquaintance) is first time home buyer and hopes to get FHA for 3.5%. Plans to rent other 3 bedrooms out to college roommates. Needs me for the down payment and closing cost ($10-$12,000 cash). He will provide me guarantee of 30% cash on cash return annually until whenever he sells it in the future.
He thinks he can buy home for $175,000 FYI
So what do you think? What would you change? How can I guarantee I get paid?