Make sure every dime is deposited into the trust account.Private lending, like syndication investing, doesn’t involve many transactions.

It is also important to consider the transactional fees associated with originating the HELOC, whether an appraisal is required etc.

I agree that DealCheck (or the BP calculator) does not provide enough tools or functionality to analyze those types of transactions (yet).But I would argue that it does a great job at analyzing more traditional buy & hold SFRs and multi-families, as well as flips and rehab projects. 

Having dual licenses, loan origination and real estate, has got me involved in most parts of the investment transaction.  

Yes itwill cost you 4 to 7% commission, but you will have more buyers,don’t have to worry about the legal transaction process, and youwill never question if you got top dollar after you sale.I.

Along the same lines, they completely ignore all the things a good operator does on a daily basis to avoid the claims from arising in the first place.

Let’s break this down:The Pros and Cons of SellingPros:Unlock Significant Equity: Selling would give you $500K in cash (less transaction costs), which you could reinvest in multiple properties in higher cash-flow markets.

This doesn't account for transaction costs and reduction in leverage as you pay down the mortgage which accounts for closer to 2-3% less, so you 12-18%. 

Flip side is we are transactional so its all write ON's not write offs does not appeal to all investors but those who want a blended portfolio its very appealing. 

In my mind you MUST have the cash to these mortgages off if your going to engage in these transactions.