@Zach GallagherVisio has a solid reputation and will end on collateral that others wouldn't even consider.  

We use cross collateralization and have sold locations for financing.  

I strongly suggest you have an attorney draw up the contracts (and one has who has already done this many times, as they will already have templates they use).At the minimum, a lender need a Mortgage but I would also recommend for more protection, a lender will want a JV agreement, promissory, personal guarantee and if possible, to have the deal cross-collateralized with another property. 

No tenants - No turnover, evictions or chasing rent.No liability - No worries if a homeowner slips and falls.Secured - the investment is secured by real estate.Insured - unlike a stock, the collateral (property) is insured.No taxes and Insurance - Homeowner pays and TI is typically escrowed with the servicing company so no need to track.Notes are typically more liquid than rental real estate.Consistently higher returns - Typically double digit.Scalable - easier to manage several hundred notes versus several hundred rental properties.No HOA or COA - homeowners must pay directly.No property management costs - instead we pay a fraction to a servicing company to collect payments.

Worse, you don’t know the long-term value of the collateral.

If not, you can't buy in an LLC unless you are paying cash or using a local bank who knows you and is willing to use your account as collateral for a new LLC without two years of tax returns.

So that money gets to count towards the collateral needed for the loan.

However if you have a strong collateral that would help you get better terms.

This is called Cross Collateralization loans.

Market in Cleveland is pretty robust but if this guy is just going to Ghost you your probably a good year or more away from getting your collateral back If its abandoned as the lender you have the right to secure it..