I Need Urgent Help...deal Going Bad
I'm having a problem with a partner in a rehab project. We are 2 months away from completing. However, we don't agree on a lot of things and he's very slow getting things done. He's offered to buy me out and I need help structuring the buyout.
Here's the background. My name is on the property. I put in about $17,000 in down payment and kitchen cabinets. I've also put in 90% of the time fixing it up for the past 5 months. He's put in about $10,000 so far and minimal time helping fix it up. Our split in the end looks like $28,000 per person.
He's a mortgage broker by trade. So he wants to give me $17,000 cash for my initial investment and then do a wrap around for my mortgage adding in some number that's fair for my time invested in fixing up the property.
With that said. Does anyone have a suggestion/pitfalls of doing a wrap or any other option? Also, should I just ask for the profit now and not add it to the wrap? And what do you think is a fair portion of the profit to ask for since we are almost done?
Thanks in advance. I'd really appreciate any feedback.
Regards.
What was your agreement or arrangement orginally? 50/50 split of the profits? What are the projected profits? Give it to me now minus a small percentage (10-25%) for giving up the risk now in getting out early.
beameraz,
Glad to meet you.
Got your pm only my private messages are not working until Joel gets back to fix it, so I am not ignoriing the question you asked me.
We shall talk soon,
John $Cash$ Locke