Obtain the necessary insurance as well to guard against any hazards or damages that may arise throughout the renovation process.6.

But the bank still treats it as a secured debt.

Personally I would pass but if you go forward I would do a lot of research on the group you are renting to and get a very large security deposit to cover damage. 

It does sound to me that a lot of that work should have come out of the tenants security deposit 

I've managed to secure the loan for the new house without having to sell the old house first.

We discussed this in an earlier post.Obviously, if loans are being made without any provision in the Operating Agreement, it’s time to get in touch with your State Securities Protection Division - usually a part of the State Attorney General Consumer Protection Agency.

When I started, I  submitted great deals to a corporate cash buyer,  they went behind my back and secure the deals with the sellers, after the  contracts expired.

That is what the security deposit is for and if need be, the small claims court system.

I just had tenants move out of my investment property (duplex) without paying for the last month's rent, and the damage they inflicted onto the property exceeds their security deposit amount.

How difficult or easy has it been to get tenants secured in that area?