So at that point you have an unsecured note and your recourse is to sue on the note if they wont pay.. and or sue for fraud if they never gave your security but inticed you to make this loan saying there would be security.. so as to not throw your borrower under the bus here you may not be fully aware of what deal you actually made.hope this helps giving you next step but if its a significant amount of money I would get a consult with a RE attorney.

Plus another 14 K  to re order .

The success in RE sales lies in doing the little things each day and knowing how to close when opportunity arises.

Quote from @V.G Jason: The excuses people make to invest at the most casual level is appalling.I'm not going to sit here and compare lives, but trust me folks with 20x the amount of stuff on their plate can go out there and invest properly in RE by doing their diligence.

Is there even any benefit to that if all the activity is line 2 rental re income/loss on the K-1?

@Jeff SullivanDo you currently have RE investments here or just looking to break into something?

After many years of being a police officer prior to my 10 years in RE, I am always watching out for this type of behavior and always looking out for others!

And many if not all of them started in their hometown or area they live in.So please, do not pay a Guru $15,000 (yes I have seen these crazy figures) to tell you to buy out of state or some other fancy RE "trick."

It might be worth double-checking that estimate to ensure it's accurate for the area.Other than that, your costs and estimates look solid, but I'd recommend re-running the numbers with these tweaks.

It's a great place to stat with your RE investment journey!