[CrushinFelt]

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I really think you need to analyze the risk/reward of this situation from both parties' point of view. Sounds like the risk on his end is very small (repairs?) and the rest is on you guys. What are the downsides to the investments?

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This is what I am concerned about, and the main reason I think he likes doing these types of deals. We would assume nearly all the risk in the HELOC and he would have the repairs to worry about.

If I can get him to assume the carrying cost this will leverage more of the risk back to him.

I haven't decided if he is wanting to use us solely as a risk shield or for us to be decision makers in the actual process. If its the later then I am a little more comfortable with this deal. This dude's plate is crazy full with all the things he does so maybe he is looking for someone to "take care of things" for him.

I dont think he wants to screw us over, but who knows.


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What are the downsides to the investments?

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Not quite sure what you are asking here? The downside as I currently see it is that we would have too much risk for my family's current position; unless of course he is willing to absorb some of that risk. But if he is willing to do that why does he want us in the first place?

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What I mean is, is the major downside to these loss of money or ending up with too much money tied up than you can afford to have out there? What are the worst-case scenarios for you?