I hear a lot of people say make it according to the recipe the first time, then modify it next.  

Too much credit could also modify the loan.

The 10 year maturity date is where the HELOC will modify into a different product all together.

Once you know what your piece can do, then you can make decisions about tinkering and modifying things in a way that will improve your response rate.The bottom line, is I've been doing this long enough to know that there are no shortcuts to success in direct mail.

In fact he informed me that a couple of neighbors in large homes were in trouble but apparently they renegotiated/modified their financing.

I do the LLC registrations myself online (not available ion all states), and had my lawyer draft up my first operating agreement, then I have used the same one over and over again for subsequent LLC's with the names and ownership details modified as required.

So I'm doing a lot of research regarding buying notes, haven't bought one yet, but it looks like it could be a bit of fun.I was checking out some loans on various websites (I'm sure these aren't great deals, same with finding house on websites) as a way to familiarize myself with different aspects of loans, I figured I'd stick to performing loans, could just hold for a decent return, or maybe tweak them a bit and create a little win-win situation.Then I'm seeing these heavily discounted 1st lien NPN's, now I can see a great opportunity in modifying these, allowing someone who wants to to remain in their house for a lower monthly, and since the note is heavily discounted creating some nice cash flow for my money.

I also talk about the #'s with mine too, he totally get the 1% rule (which is MY 2% rule modified LOL!)

As a summary, it looks like i can boil it down to the following:1. make sure the growers have proper credentials2. modify lease to insulate from problems and restrict the level of activities3. check with insurance to make sure they will cover the house in the event of a loss; consider additional insurance to cover growing operation and pass that cost on to the tenants4. obtain a higher security deposit to cover possible mold and water damage5.

So if we are buying for 100,000, renovation budget 50,000, ARV apprasial 220,000 the bank will lend us 176,000.This apparently is not typical from watching the forums, but with three local banks doing some modified version of it, I suspect if you talk to all the commercial loan officers of your local independent banks, you have decent income and credit you will find similiar deals where you can get money at 5%-6% to do rehabs if you search a bit.