They simply are afraid to let any income information not be duplicated.

Having all such parties on the hook makes collection activities against such interests easier.Another aspect is simply to reduce risk, loans are made on a joint basis giving a lender the option of seeking repayment from the easiest source of funds or assets that might be available.

@Joseph Tarallo , I simply went into the bank where I have mortgages and asked to apply for a line of credit on a rental that had no existing mortgages.

Would I just simply file a DBA with the state and make up a name and use that since I wouldn't have XYZ Properties, LLC, at the top or do I use my name or just leave it entirely blank?

There is no need for the note between you and the LLC, if you own the LLC you are simply putting money from your right pocket into your left pocket.Also something else to note here: if you are intending using leverage (buying properties with financing), you would have to buy them in your name first and then transfer the title into the LLC - no one likely will lend to your LLC.Hope this helps.

If the end plan is to buy property to Seller finance, why not simply start there?

You can verify a deed changed hands by simply looking at public record.

And in a vicious cycle, this simply impels the lawmakers to create a new batch of rules!

Would you simply state that the seller can cancel the agreement at their discretion along with the return of the earnest money?

It's simply done to generate traffic, what is available.