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In response to your original question, closing agents should handle private loans just like a bank loan. 

In that case you do bear the responsibility when said supplier turns out to be a fraud dont you think?

I’d think long and hard about this and possibly set up financial parameters for who is responsible.

As fund manager you owe your investors a fiduciary responsibility which I can foresee as a basis for lawsuits should the fund not perform as anticipated.  

Even in disclosure states, sales data is not all reported to the sites so you need the MLS to be the most accurate.

Internet is a hard place to accurately judge character. 

I did approach them about a year ago about getting $25k credit line per property, and the response I got was basically no.

I know this is a delayed response, but I recently bought a property in Grandview.

Work with a real estate attorney to draft a formal agreement that outlines responsibilities and protects both parties.