I have not reviewed BAM's fees but it's likely based on their representation of UNDER 10% "skin in the game" that most of their "investment" is taken from fees deducted from the money gamblers place with them and counted as equity in the deal; this is a common practice in the syndication industry. 

What are your thoughts about these types of relationship dynamics?

Thank you for the feedback—it’s a provocative take, and I appreciate the opportunity to discuss it further.You’re right in identifying the “race to the bottom” dynamic, and in many ways, isn’t that the essence of capitalism?

He had done this to force out his old cell mate who was staying there 'working', I guess the dynamic between them had begun to break down.

Focus on building trust and staying consistent with your outreach.You’re in one of the most dynamic markets in the country, and it’s clear you’re making smart moves.

With this scenario we both have skin in the game: His work and my materials.

For example, some areas SFH may exist but the clientele that move into them have to be comfortable with the neighborhood dynamic.

Unfortunately most lack the balance sheet to obtain favorable financing, can't afford to put any skin in the game and fail to make a compelling reason for why the investment makes sense or to justify the structure they are seeking.

Many sellers will not accept this since they are in second position, and it is very risky since if you default (higher probability for investors with no money and/or no skin in the game), they will most likely be wiped out during a foreclosure.

Quote from @Chris Seveney: @Francisco AvancenaThere are specific lenders who will do land dealsBut of course not as many as traditional real estate.The key will be skin in the game - typically for land because it is less liquid than a home the lender will want to have a lower ltv on the deal I fund land flippers currently in  CO FLA WA ID MT NV AZ OR TX SC GA VA  one thing about land though LTV is lower and RATES are NOT the same as typical HML rates are higher for raw land but its a specialty niche and a business that I grew up in..