Joint Venture Worksheet:



Joint Venture Worksheet:

The following examples are only three of the hundreds you may come up with. This is a great opportunity to combine what you are learning in the REIN Creative Buying StrategiesTM with the Joint Venture SecretsTM to make yourself an unstoppable Real Estate Investor. Keep the deals simple, follow a proven system and do what you say you are going to do.

There are no rules here; do whatever works for the parties involved. This is a negotiation between both parties. Think Win/ Win and use your imagination to create Real Estate deals that are mutually profitable for everyone involved.

This is a great time to take inventory of what you have to offer in a Joint Venture deal… being honest and knowing your strengths and assets will go a long way to finding a Joint Venture Partner with complimentary skills:

My Strengths/ Expertise (What do I have to offer?)

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What Skills/ Expertise Am I Missing? (What am I looking for in a Joint Venture Partner?)

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What Does Your Ideal Joint Venture Candidate Look Like?

Describe the ideal candidate in detail, How do they look? What do they wear? How do they talk? Do they have a family? Where do they live? Do they have Investment capital? How much? The clearer the picture you can paint, the quicker that person will come into your life.

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Once you have identified what you have to offer and what you are looking for, you need to strategically make a plan to attract these people. If you have an ideal candidate that you are looking for it will be much easier to recognize them when you find them… you most likely have them in your life right now…

Joint Venture Worksheet:

Example #1(to be used only as an idea generator)

Classic 50/50 Joint Venture Deal

|Project Name/ Address: |456- Townhouse Road |

|Investor #1 (You) |Investor #2 |

|Real Estate Expertise |Minimum $50,000 in cash or investment capital |

|Real Estate contacts (Research team, Realtor, Property Manager, Lawyer, |Covers downpayment, closing costs and reserve fund (details to be confirmed)|

|Accountant, Insurance agent) | |

|Local Real Estate market knowledge |Covers 50% of negative cash flow |

|Financing pre- approval- $300,000 (using 1.1% rule) |Signed Joint Venture Agreement |

| |Independent Legal Council |

| |50% ownership |

|Covers 50% of negative cash flow | |

|On Title & Mortgage | |

|Signed Joint Venture Agreement | |

|50% ownership | |

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|Exit Strategy: |Notes: |

|Upon sale of property Investor #2 receives all investment capital first, then the balance is split 50/50 |Management Costs are paid out of Cash Flow |

|Minimum 5 year hold | |

|Each Investor has First right of refusal | |

Joint Venture Worksheet:

Example #2 (to be used only as an idea generator)

The Renovation

|Project Name/ Address: |777- Drywall Dust Lane |

|Investor #1 (You) |Investor #2 |

|Real Estate Expertise |Provides all labour and renovation expertise |

|Real Estate contacts (Research team, Realtor, Property Manager, Lawyer, |50% of all costs (downpayment, legal, reserve fund) |

|Accountant, Insurance agent) |50% of all renovation materials |

| |Bulk discounts with Retailers |

| |50% of cash shortfalls |

|Finds property |On Title and Mortgage |

|Negotiates Purchase |Signed Joint Venture Agreement |

|Arranges Financing | |

|50% of all costs (downpayment, legal, reserve fund) | |

|50% of all renovation materials | |

|50% of cash shortfalls | |

|On Title and Mortgage | |

|Signed Joint Venture Agreement | |

|50% ownership | |

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|Exit Strategy: |Notes: |

|Upon sale of property Investor #1 & #2 both receive all their cash first, then balance is split 50/50 |Budget set in advance, funds for renovation |

| |set aside in advance |

|Hold period is determined by renovation (8 -12 month window) | |

Joint Venture Worksheet:

Example #3 (to be used only as an idea generator)

Partner Guaranteeing a Mortgage

|Project Name/ Address: |123- Smooth Sailing Road |

|Investor #1 (You) |Investor #2 |

|Real Estate Expertise |Guarantees Mortgage |

|Real Estate contacts (Research team, Realtor, Property Manager, Lawyer, |Signed Joint Venture Agreement |

|Accountant, Insurance agent) |Independent Legal Council |

| |25% ownership |

| |No cash flow |

|Covers downpayment, closing costs and reserve fund. |On Title & Mortgage |

|Finds property | |

|Negotiates Purchase | |

|Arranges Financing | |

|Manages Property | |

|Covers 100% of negative cash flow | |

|Signed Joint Venture Agreement | |

|Registers Caveat against property | |

|75% ownership | |

|Exit Strategy: |Notes: |

|Upon sale of property Investor #2 receives 25% of the total equity appreciation, and is fully discharged from |This is not a Straw buyer. This is for |

|Mortgage. |legitimate JV partners |

|Minimum 5 year hold | |

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Joint Venture Worksheet:

|Project Name/ Address: | |

|Investor #1 |Investor #2 |

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|Exit Strategy: |Notes: |

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