It's unclear how much, if any, this might play into it..So my proposal seems to fit into what he is looking for. 1) He gets one monthly check for all his units (he seemed relieved to be able to do it on this unit, so maybe he's happy to do more.. maybe he just doesn't like the landlord risks). 2) He doesn't have to worry about vacancy or evictions, because I'm responsible for it (I would also propose giving him a big deposit for good faith, and my personal credit and cash flow, which is substantial..). 3) The rents would also be at a much higher level - which will help so he's not bound by low rents under rent control in Oakland.

Remember you don't have to own a property to control it.

A lease/option gives the tenant/buyer very little control and the landlord/seller has a lot.

If you are the controlling partner in the ownership entity and don't do the first position hard money, you will still need to take over the project to protect your position.Since it doesn't sound from the tone of your post that you know the developer all that well, I would only do the 70% 1st position, and never do the 2nd position (either equity or loan)

Remember you don't have to own a property to control it.Good luckPaul

Remember you don't have to own a property to control it.I have a buddy who does private 90 day lending giving the investor 8% annualized they roll it over for the year getting 32% interest at the end of the year.Good LuckPaul

But anything could happen to them or to the job and I could be out the materials cost as well as have the job shut down for reasons beyond my control.

I'm just getting into real estate because I've finally got all my student debt under control and have a very manageable debt to income on my primary residence.

Remember you don't have to own a property to control it.Good LuckPaul

Remember you don't have to own a property to control it.