All Forum Posts by: Mayer M.

@Will Fraser

Thanks Will!

Hey,

I’ve done a decent amount of flips/rentals on my own or with a 50/50 partner, but I’m looking at a new type of deal.

A friend of mine flips homes and has offered me a partnership. Basically he will obtain the property with a loan and will put 20% down and manage the flip, I will have to fund the rehab and we will split the profits 50/50.

How do I properly structure a deal like this to protect myself? How should I structure it from a legal and tax perspective?

Being that he will be obtaining the mortgage and the property be in his name I suppose I’d be in second position

I feel like it’s a great opportunity and just not sure how to get this done

Thanks!

@Or Laor Stern

Sorry to hear. Hopefully there were no property claims that would be much worse

@Paul Nicklin

Ambric Technology

@Stanley Mak

Where? I am in philly

@Marc Possoff

Do you need to finish the basement to make the deal profitable? I would think you shouldn’t finish it if under 7’ finished height.

Perhaps leave the ceiling exposed and paint/stain the beams

@Kristin Feerst

Have your architect change the GC in eclipse. I just had this done last week

@Kevin M.

I’d agree that illegal dumping is the biggest concern.

@Eli M.

Not a risk factor, there’s a lot of empty lots in Philly

@Yuriy Skripnichenko

Thanks Yuriy!

If I may, what’s your prediction for Philadelphia real estate for the next 12 months? Specifically for multi family duplexes, triplexes and your to 30 unit buildings?