@Mounish Thatikonda, while I can't speak in too much detail about the financing side, I will note that I have never built a house, but had talked to lenders in the past, and they were willing to finance a new construction house for me with full personal guarantee and a reputable builder contracted to manage the construction.  

Conducting thorough due diligence, maintaining a healthy cash reserve, and obtaining adequate insurance can mitigate these risks.The Road to Financial IndependenceReal estate investing is not a guaranteed path to wealth, but for those willing to put in the effort to learn and grow, it offers a viable route to financial independence.

Ultimately the lender will require a personal guarantee from the borrower unless the property qualifies for non recourse financing (which is rare and generally applies to larger transactions than those contemplated or executed upon by BP forum posters).

You will never be 100% guaranteed against any risk.

Section 8 is great, as it is guaranteed rent payments each month.

the owner would typically pay the commissions on a commercial lease; however, an option to renew is an option to renew. it just gets renewed. there is no new lease, no new leasing agents, none of that. it sounds like they aren't exercising their option to renew. they are essentially letting the existing lease expire and negotiating a new one. my response would be - we either renew as is as provided under the existing lease please plan on vacating as we'll start marketing. it is possible that we may come to terms on a new lease but no guarantees.....

And a note, a personal guarantee, and many other documents and disclosures.

The payments are guaranteed but you can expect that the wear and tear is usually immense.

I have no experience with temporary housing companies, but I know the rent would be guaranteed and paid directly by the insurance company which makes it attractive to me, then again I will have to look for new tenants in 6 months. 

In looking at the allegations I'd say the primary red flag is the use of the word "guaranteed" when discussing returns.