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Property Investment Graduate
What are the important steps to take when buying an existing investment property as a partner?

This is a business of property management established apartments for graduate students. I would buy a 49% position in an LLC. The owner would retain existing the remaining 51% and also manage the property for a fee. Our goal would be to sell the property at the end of 3-4 years, when the owner of 51% are willing to withdraw and when my son has finished his graduate program at the school.

Its current owner is to maintain control too. He has majority ownership management of the company and on top of that charges a management fee. As has controlling interest, then its share of net profits are larger. Me like to negotiate eliminating the management fee it receives from a lot of revenue. If you are looking for a silent partner, then I would reduce the percentage interest in the amount of management fees. You would have to evaluate the P / L to determine whether the management fee is worthy of discussion. Since he is 3-4 years of retirement, which has no reason to negotiate with you. My suggestion would be to find someone who is willing to share the benefits well as the cost of the company.

OCW #73 MIT OpenCourseWare (OCW) is a web-based publication of virtually all MIT course content.


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