Both my private lender and myself are new to private money loans. 

I've been here for 10 months and while I was getting my documents, I've been attending meet ups and seminars but as I'm sure most of you have experienced, you tend to get solicited with the "gurus" offering you education for X amount of money without the security of knowing if it's beneficial to me. 

Hi, I'm Katie Broyles and I'm new to BP,I'm the marketing associate for a private lending company in Arizona.  

As a private lender myself, I require the investor to have SOME cash involved.

You need to contact a real estate attorney who performs litigation and not just a contract and "book" Attorney.They will have private investigators who will track down and investigate the property management and interview the tenants.You may have a bit more problems than you know about,yet.This won't be cheap but you have got to protect your property and investments from fraud and abuse.

If the buyout goes beyond 6 months, the rate goes up.My question is: am I secured enough with 20% ownership or do I need more?

We also rented units in partnership with refugee resettlement programs to recent arrivals; those were a bit different because the rental agreements were in the name of the tenants, but backed up by the resettlement agency paying hefty security deposits.

In need of Private Lenders and Attorneys THANKS in advance

This would not only help me learn, but it also helped me earn as SEC requires anyone marking a private placement to be part of the general partnership.  

Now the sellers son has decided to stay and squat at the property for another month til the end of september, with the exception all of the escrow security funds coming back to me (buyer), am I entitled to split or give up any of the escrow funds with the sellers son due to him squatting in my new property.