Common mistake by those new to real estate but this 45k in equity in accessible.

Probably not the most common opinion around here, certainly not the sexiest. 

The Sponsor needing 5 mil for project in addition to the common equity raise, will be in a preferred equity position ahead of common equity and of course behind the Lender with apparently no legal recourse to foreclose property.

Not as common, but negotiable like anything else?

Debatable in these scenarios...

Scenario:1.

Some conflicting reports but it seems the nation average of home sold per agent is been 8-12 depending on the data, for this scenario we will go with 10.

It’s common to feel overwhelmed by the various metrics and data available.

(outside of going after your personal assets) Banks and financial institutions are too smart to be putting themselves in this type of scenario.  

However, DSCR Loans should not be considered “no doc” loans–they do include a well-thought-out underwriting process and meaningful “common-sense” documentation requirements as well.