Dan,It sounds like you and I have been in similar situations with Safeguard non-performing notes. 

Depending on your exact situation, you could likely get something closer to 7% and make these numbers work a little better.  

While institutional lenders would probably need a number years proof of collections before considering the income from the wrap, private lenders, such as myself would look upon the situation more favorably.  

Those situations go bad more often than not, costing you money and the friendship.

The forums are often more for questions and help in situations or deals. 

I am in a similar situation.

I believe the code says "if a veteran holds legal title to a property secured by a VA loan but does not possess equitable title, this situation is considered 'not a disposition."

An owner can challenge the number of hours their PMC bills them for a project though.2) Contracting every job out, but the bids aren't shared and owner just gets a bill on PMC letterhead covering labor & materials, with little detail.This is a pretty difficult situation to understand the charges, so you can monitor them. - The smaller the job, the easier to understand using the material & labor steps above.- Larger jobs may require requests for more detail, so the above steps can be applied.Be sure to check your management contract for what you agreed to.

However I do have a few other ideas but I would need to know a bit more about your situation, timeframe, overall financial objectives.

@Rosmery ThenMy partner and I are in the same situation, just he has 20 years of construction and development experience.