• Welcome to AlpineZone, the largest online community of skiers and snowboarders in the Northeast!

    You may have to REGISTER before you can post. Registering is FREE, gets rid of the majority of advertisements, and lets you participate in giveaways and other AlpineZone events!

Buying a Ski House with Friends

abc

Well-known member
Joined
Mar 2, 2008
Messages
5,020
Points
83
Location
Lower Hudson Valley
Basically, treat it as a business. Your "friend" as business partners.

You'll be better friends in the end.
 

abc

Well-known member
Joined
Mar 2, 2008
Messages
5,020
Points
83
Location
Lower Hudson Valley
I think if you buy a house with friends, the odds for success are poor. But it can work with siblings because the relationships are different, and you're probably already tangled up financially in one way or another. And if Mom and Dad are still alive and thinking well, they can help arbitrate disputes. Or you might get Dad to put up some of the dough required. But I give a solid thumbs down for buying with friends.
The big difference between "friends" and family is, family members are not necessarily expecting the partnership to be entirely fair, or at least not all the time. You're family after all. You help each other out at one point or another. You parents wipe you ass when you're little. You wipe theirs when they're old.

You trust your family will hold up their end of the bargain. And you have good reason for that trust because you've been together much more intimately than any "friends" for much longer. Deep down, you KNOW their true character.

I've been in with family members in financial transactions. It all worked out for all parties.
 

jaytrem

Well-known member
Joined
Oct 22, 2007
Messages
1,400
Points
48
Basically, treat it as a business. Your "friend" as business partners.

You'll be better friends in the end.
Yeah, there aren't many stories of friends going into business together that end up hating each other.

So to be so negative but DON"T DO IT!!!!!!!
 

cdskier

Well-known member
Joined
Mar 26, 2015
Messages
4,576
Points
83
Location
NJ
You trust your family will hold up their end of the bargain. And you have good reason for that trust because you've been together much more intimately than any "friends" for much longer. Deep down, you KNOW their true character.

I've been in with family members in financial transactions. It all worked out for all parties.

Nope...wouldn't do it with family either. I know my family well enough to know not to trust many of them. And even ones I "trust", I still can't guarantee that their interests wouldn't change over time to no longer align with mine.
 

abc

Well-known member
Joined
Mar 2, 2008
Messages
5,020
Points
83
Location
Lower Hudson Valley
Yeah, there aren't many stories of friends going into business together that end up hating each other.

So to be so negative but DON"T DO IT!!!!!!!
But how many sole proprietors have out perform business that have partners?

If you don't know how to read and trust people, and work with their limitations, you're limited your resources.
 

abc

Well-known member
Joined
Mar 2, 2008
Messages
5,020
Points
83
Location
Lower Hudson Valley
even ones I "trust", I still can't guarantee that their interests wouldn't change over time to no longer align with mine.
That's when you need to go your separate ways. And that itself doesn't need to be a negative either. Hopefully, you've both gotten enough benefit from the partnership already.

I know my family well enough to know not to trust many of them
But that's exactly the advantage of family. You know them for such a long time you know who not to trust too. :)
 
Last edited:

Hawk

Well-known member
Joined
Nov 22, 2016
Messages
1,339
Points
63
Location
Mad River Valley / MA
ABC, you make it sound like it's so easy to separate the good from the bad. Let me tell you, in general people are very unpredictable. They basically suck and when you add matters of money they suck more. No one ever does what they say they will do. That is why signed agreements are always key. And only a few really talanted people can truely read people from the start. And those people are few and far between.
 

abc

Well-known member
Joined
Mar 2, 2008
Messages
5,020
Points
83
Location
Lower Hudson Valley
ABC, you make it sound like it's so easy to separate the good from the bad. Let me tell you, in general people are very unpredictable. They basically suck and when you add matters of money they suck more. No one ever does what they say they will do. That is why signed agreements are always key. And only a few really talanted people can truely read people from the start. And those people are few and far between.
I didn't say it's "easy" for everyone. Much less imply it's "read" people on short encounter. But it was easy for me to read long time friends and better yet, family members. At least it was "easy" for me to weed out those untrustworthy. I haven't had anyone whom I trust violated my trust. Even when we had disagreements, we always managed to sort them out amicably.

You also seem to have missed my suggestion to formalize it and treat it as a business too. That would protect those who doesn't feel they could read or trust people.

P.S.
I can't help but chuckled at your comment, which reminds me of my parents. ;)
My Dad felt everyone is out to get him. My Mom thought everyone is unpredictable therefore can't be relied upon.

But somehow I've grown up to be rather "trusting". Don't ask me why or how.
Though as I watch my parents, I can't help but to noticed they actually "trust" others too, despite their claimed distrust of people in general. It's just they second guess their trust a lot more than I do.
 
Last edited:

Hawk

Well-known member
Joined
Nov 22, 2016
Messages
1,339
Points
63
Location
Mad River Valley / MA
Your right. I missed that. I guess that my experiences with working in partnerships and overseeing partnerships for the last 30 years has tainted my view. You are certainly a very luck guy.
 

abc

Well-known member
Joined
Mar 2, 2008
Messages
5,020
Points
83
Location
Lower Hudson Valley
You are certainly a very luck guy.
Probably. I'm not surprise if luck has something to do with it.

But on the other hand, I don't push my luck. I don't go into partnership with people I have doubt with. I may have lost opportunity for being "too conservative", you may say?
 

gladerider

Active member
Joined
Jan 2, 2005
Messages
1,074
Points
38
Location
NJ
Form a corporation and buy the house under the corp.
this. that's what i would do, if i must. personally, i would never do this. but, if i must..
this would shield all parties from any resulting personal level legal liens; but some states have added financial burden on corps so there are some downsides.

in any business partnership, the beauty of a contract is that it forces you to spell out all assumptions as well as exit terms that require agreement upfront, if you get a good lawyer.
 

abc

Well-known member
Joined
Mar 2, 2008
Messages
5,020
Points
83
Location
Lower Hudson Valley
in any business partnership, the beauty of a contract is that it forces you to spell out all assumptions as well as exit terms that require agreement upfront, if you get a good lawyer.
This!

Having spelled out all the hidden assumption is most beneficial. Some in the party may be forced to realize it really isn't what they want. It avoids getting sucked into something they don't actually want. Also, having considered seriously of most of the downsides, it removes a lot of the surprises. So if and when the less than perfect scenario occurs, the reaction will be more predictable.
 
Top