But IF the property in question is in compliance with all code, and provides a safe and secure environment, all problems are timely addressed and corrected, and the property is maintained on a professional level, then the investor who has a large capital investment in the property should be entitled to enforce any contracts providing him with the agreed to cash flow. 

If you want another layer of protection get an umbrella policy.You don't want to trigger the due on sale clause for a likely low interest mortgage.Also if you aren't operating your LLC 100% you likely only have a false sense of security. 

Hi All,I recently secured my second rental property using a HELOC and now I'm thinking about my next purchase.

Also, interview at least 10 lenders to secure the best loan terms.

The court would typically write down the secured note amount to no higher than the appraised value, with the balance of the amount owed being placed in the unsecured creditor status.  

I personally collect a security deposit and get the damage protection waiver for added protection.

Extensions may be granted for valid reasons, like needing more time to secure financing or complete due diligence.

The letter confirms the amount of security deposit and the "paid through" date for rents.

You know your goal isn't to leave the 9-to-5, you have a great job with good scale and security.

A Heloc can never be used as a PITI reserve, or an asset instead its a debt burden and an additional trade line on credit.A Heloc carries a higher risk when it comes to security meaning if you miss a payment even by mistake or for any reason, your scores drop, or your balances start to change your DTI or usage percentage.