Well unlike Account Closed  advice I don't think he saved you 25k in fees  LOLthis is quite simpleyou have the developer sell you the lots.. on  contract  .. the developer then subordinates his beneficial interest in said contracts to the Banks construction loan.. you are the owner you build and then sell.You can do a participation note with seller.. so they get a fixed number plus a little interest on the note and then a % of profit if you wish.now the only wrinkle will be if the construction lender will allow a junior loan on this and you having no real skin in the game.If the construction lender wants the lots as true equity.then you would need to for a JV agreement with developers portion the lots.. and what ever your business arrangement is.. if the developer has less than 20% interest in this newly formed LLC for these two build jobs.. then they will normally not be required to sign on the construction loans.Construction loans in today environment are very tough especially specs.My Portlandia bank will give me 12 specs and my Charleston bank will give me 6. so i can have 18 homes going at one time.  

I've been Researching Real Estate since i was a junior in High school and i recently closed on my first duplex. 

Any overage from the total due on the note is remitted to junior interests in priority of title.  

Currently, Julian Colvard is an established fitness strategist to the Atlanta University Center and its students, public speaker, and, some would consider, a scholarship specialist, obtaining over twenty-thousand dollars in external scholarship monies while attending Clark Atlanta University (Junior) on both academic and athletic scholarships.

I am junior in all this (only read a few books, watched a webinar, adn don't own a property yet) but my wife and I are building an real estate education and down payment for this. 

Foreclosure is the only way to wipe out junior liens.

Disregarding any extra costs, insurances, carrying costs while in foreclosure, junior liens on the DIL, etc,.......I don't care  what "% of  value", "% yield, % cost to value" you have,   $5k is just not enough margin for error.

The question is Why is there no progress: has the owner been approved based on his financials, has the bank done their BPO yet, are there junior liens that can't be negotiated out, etc.  

My dad bought his first and only investment property when I was a Junior in high school and I helped him fix it up.

I am a junior business administration major and will have my degree next year.