Mostly because he didn't take the advice of risk adverse lawyers. 

More specifically overcoming conflict is a good way to build a relationship.

@Joseph McKinney This is one of those emotional topics that are sometimes hard to overcome with facts and numbers.

If the great financial collapse gave you a near-fatal head injury, the next adverse cycle might give you a sprained ankle. 

If you are risk adverse real estate, (especially out of state) is not for you.

I personally have that "fear" of putting money so far away and rely completely on PM.Help me to overcome this fear.Thanks BP!

If you are familiar with the logistics of setting it up and who is the best company to work with then you have already overcome a roadblock.

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They would use that for refinance consideration to overcome the seasoning requirements.Private or Hard money lender might go with market value

I've seen more than a few investors get desperate and impatient - and buy "stupid" which is hard to overcome.