We always use our attorney to submit the contracts we have to the contractors attorney.Any & all draws are subsequently approved through the attorney after each sub-scope of work is completed to our satisfaction. 

The more equity you can squeeze in by buying and rehabbing right, the easier it becomes for each subsequent cash-out, ensuring your equity for the NEXT Repeat!

That means that if somebody bought the lien in 2015, they did not pay the subsequent taxes for the next year.

The option deposit and any subsequent money that was going to be applied to the purchase price is also forfeited to you.

I may be way off base but I believe once that first deal happens and that experience is gained, the subsequent deals will be easier since you have that experience and confidence, and you're goal will be much more clearer which may make you adjust that goal. 

The more sophisticated attorney's know how to do this, one of the advantages is that no funds are exchanged in advanced and the original seller does not have to be made aware of the subsequent transaction.

My subsequent apartment purchases have been financed by increasing value of existing stock and refinancing. 

It is possible the underwriter will see the payment coming out of your bank statements in subsequent months and inquire about it....but that isn't likely to occur.  

So, you can foreclose on him if he doesn't pay you and you would do that subject to the existing senior lien, which you would have to pay off eventually.Be careful if you become a lien holder and subsequently try to foreclose.

That being said, you probably are motivated and subsequently can't go wrong if you stick to your budget and remind yourself that this is your first property.