Fully Renovated Legally Suited House in South Edmonton

Stephanie3745

Inspired Forum Member
Registered
Just received an accepted offer on a fully renovated legally suited house in South Edmonton 20K below market value at $455,000.00
A solid opportunity to generate a safe and stable return. I'm looking for a partner who is looking for hand’s free growth for their capital on this long term hold.
I oversee the property for the length of the hold. You bring the 20% down payment and mortgage.
You gain 50% of the cash flow, 50% of the mortgage pay down, 50% of any future property appreciation and tax benefits. Upon sale or refinance your down payment is returned to you and remaining profits are split.
$3200 Proposed Rent, yielding a $800/month Cash-Flow!!!

Let me know if want to learn more?
Stephanie
 

Matt Crowley

Senior Forum Member
Registered
Why would anyone pay 50% of profit to a property management service that costs $200 / month? Seriously pay out 50% of distributions before the investor gets their capital back? That is an annual management fee equal to $13,000 per year (excluding appreciation), or 14% of your invested capital per year.
 

Martin1968

Frequent Forum Member
Registered
Why would anyone pay 50% of profit to a property management service that costs $200 / month? Seriously pay out 50% of distributions before the investor gets their capital back? That is an annual management fee equal to $13,000 per year (excluding appreciation), or 14% of your invested capital per year.

I have always wondered about the logic of these type of deals. Why would anyone with a bit of knowledge and experience in real estate do this. To me the only true way of JV is when bringing on an equal partner, 50% downpayment, 50% mortgage qualification.
On the other hand, it’s a business model so from that perspective.............congrats if you can find someone to invest $ for you.
 

Thomas Beyer

Senior Forum Member
REIN Member
I have always wondered about the logic of these type of deals. Why would anyone with a bit of knowledge and experience in real estate do this. To me the only true way of JV is when bringing on an equal partner, 50% downpayment, 50% mortgage qualification.
On the other hand, it’s a business model so from that perspective.............congrats if you can find someone to invest $ for you.

Money partner bringing all the money is common for a min 50% stake. But adding risk by also qualifying for a mortgage is worth another 20% in my books. So 30/70. But hey if you can sell 50/50 why not ?


Thomas Beyer, Asset Manager, Investor, Asset Improver, Author, Father, Mentor www.prestprop.com
 

Martin1968

Frequent Forum Member
Registered
Money partner bringing all the money is common for a min 50% stake. But adding risk by also qualifying for a mortgage is worth another 20% in my books. So 30/70. But hey if you can sell 50/50 why not ?


Thomas Beyer, Asset Manager, Investor, Asset Improver, Author, Father, Mentor www.prestprop.com

True! Some people have the gift to sell Ice to an Eskimo............
I guess I’m not an Eskimo.
 
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