Partner Bailed on me - I need Advice

General Real Estate Investing
1

A friend and I bought a small single family home; rehab project a few months ago. (we planned to do all the work ourself)

Just recently he and I had a huge falling out and he refuses to show up to help me finish the project. Its about 70% completed. My partner feels that he has put in his 50% of the work.

My plan is to hire contractors to finish the job (which would still allow us both to make profit just not as much) and I feel that if I do that, this will create a scenario in which he will attempt to deny my 50% of the profit.

My question is, seeing as how both of our names are on the deed. And he will most likely attempt t to back stab me in any way possible, what should I do and what should I look out for?

Any help or advice on this matter will be greatly appreciated.

2

What does your partnership agreement say about this situation?

If you don’t have one, learn a lesson for the next time. Meanwhile, you should probably get an attorney involved to mediate your dispute and to draft a partnership agreement so you can complete the project and get paid.

3

Dave,

Unfortunately I don’t have any sort of agreement. We just sort of went at it. (as dumb as it sounds, but things were much different back then.)

4

real estate lesson #6:

if it’s not in writing it doesn’t exist.

real estate lesson #181:

good fences make good neighbors. good contracts make good business.

real estate lesson #44:

good friends and good business don’t mix.

5

An extension…mixing them leaves you without both.