Newbie Investing Question

[Lucas Gunderson]

I've been doing my due diligence on REI but have not taken the leap yet on my first deal. I'm apprehensive of stepping out on my own and not wanting to learn "the hard way". Recently I came in contact with several investors who specialize in short sales. I met with them and they are looking to expand their network and bring people in to learn their system. I would do the majority of the work while they would offer me support and make sure that I am staying on track. They would also offer the hard money used to fund the loan before the new buyer purchases the property. The profit is split 50/50 between myself and the other investor.

Two questions:

1. Is this a smart move?
2. Do you need to close out the original loan that is negotiated with the bank before the property is sold to the buyer?

Thanks.