[net.invest] Equity sharing on personal residence

hodor@hplabsb.UUCP (02/20/85)

I recently saw an introduction to equity sharing personal residences by
Paul Simmon.  Paul Simmon has developed a course.  Has anyone on the
network taken his course?  

I have heard two different opinions on what can happen in an equity
sharing situation.  With two people involved and each having 50% of
the equity of the property.

	1. One person is the investor and puts up the down payment for
	   a 50% equity in the property.  The other person pays the 
	   monthly payments plus some nominal fee ($50/month) to the
	   investor.  This is what I heard from the Paul Simmon introduction.

	2. The same as the above except the person paying the monthly
	   payments and living in the house must pay half the fair
	   market rent for the other half of the equity (this would
	   be >$500 for a $150,000 house).  This is what I have heard
	   from a realtor.

Does anyone on the network know if either of these options have a problem
with the tax law or some other area?