All Forum Posts by: Jeremy B.

1. depending on your experience and what you bring to the table, the split doesn't have to be 50/50. It can be 75/25, 40/60. Be open to making the numbers work for your investors.

2. what is the CF and forecasted future refi at? If the money investor is only getting their initial funds back after refi and no additional growth, then this is not a good investment for them. They risk the capital, cashcall and make no income for x years. Check your wording "money partner keeps 100% of the refinanced money pulled out to get as much money back as possible". So for example, if I put in $100K as a money investor and at refi, the property is able to refi and pull out $250K, does that mean I get the full $250K?

3. the money investor may or may not need to qualify for the mortgage. This can be set up in several different ways.

Lastly, 'best structure' depends on which side of the fence you are on.

Good luck

Thank you!

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We want to secure some rental units in our town as the prices are quite low compared to the rest of Canada but you can obtain good rent/tenants.

I'm presuming this would be the best structure for all parties?

We're the general contractors/property managers and we would take care of everything locally.

While an outside money partner puts in the cash for a down payment, closing costs, renovation costs, and carrying costs. The money partner usually also qualifies for the mortgage and is put on the title.

After refinancing, the money partner keeps 100% of the refinanced money pulled out to get as much money back as possible. From then onward it’s usually 50/50 on cash flow and equity.

Does anyone have a sample JV agreement they can share with me?

Any other tips or advice to get us started would be greatly appreciated.

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All Forum Posts by: Jeremy B.

Jeremy B. has started 1 posts and replied 2 times.

Post: Trying to secure our first JV deal

Post: Trying to secure our first JV deal