You've started attending your local REI group and have talked with a few investors there, and you keep hearing about JV deals. So, what exactly is a JV deal?
JV means Joint Venture, and they can be structured in numerous ways. I'm going to explain how the majority of my JV deals work, and you can adjust the variables from there.
Since starting back in the business after the recession, many of my deals are JV deals.
Before the recession, I had much of my own money and lines of credit that I used to purchase and rehab my houses.
After the recession, I didn't have access to those funds anymore.
So, I had to figure out new ways to fund my deals. Hard money has been one way; however, JV deals have been another great way for me.
How it works for me is, my partner will put up all the money, to purchase, rehab, holding costs, etc. and then I will find the property, renovate it and handle the selling.
Then once the property is sold, we split the...