Private lending security question

[Carl Cheung]

Hi, I was approached by a friend with an opportunity to invest. His plan is to get a loan from me (promissory note) and then use the loan as the down payment from the bank. After talking to an attorney, he explained first/second position and that the bank would likely not take a second position. Likewise, it doesn't seem prudent for me to take second position, even with a personal guarantee, as it seems much more risky and I am putting in the initial money that would make the deal happen.

Questions:

1) Are HMLs almost always lending out the full amount?

2) What options/alternates are there to try and make the deal work? Even multiple second positions on his other properties doesn't seem like much security. JV deal? If so what profit margin should I expect?

Would like to explore options before I approach the attorney again.

Thanks!