I give these threats no thought because 1) my actions are appropriate 2) i document well 3) they have yet to follow through with any of these lawsuits 4) typically their ignorance is apparent in what they are threatening to sue for. 

Document clearly anything you do to screen the applicant and make sure you do the same for all similar instances.

(should have documented, dates may not be exact) What made you interested in investing in this type of deal?

Would you have any recommendations, in your experience, for what to look out for in the documents that would be red flags or items that would negotiable?

I know the process from beginning to end and documented this thoroughly.

I would get an attorney or title company involved to create your loan documents to ensure they comply with the law and cover all the aspects you need.Another method that is likely your best bet to take on investors is to create a joint venture (JV).

I would also reach out to real-estate friendly lawyers to help you draft the necessary documents to form an LLC and to talk through the pros/cons for various decision.Also, I'm curious why you decided to invest in BHAM.

We work closely with the listing agent to get documentation and we start making aggressive, contingent offers on replacement properties as soon as the inspection contingency closes on the sale. 

Others might be fine with taking risk, but least by doing this a person can get an idea of what might go wrong.e) Legal document analysis: it will usually take a few days to go through the legal document properly, as almost inevitably there are tons of gotchas that either have to be explained, or mitigated with a side letter.That is the very short summary of what I do.

This is the form that would be used: https://content.enactmi.com/documents/calculators/Form1038.C...