Again, other might feel differently here.b) Skin in the game: as a conservative investor, I understand that the dirty secret of industries that the waterfall compensation is in the line with me and incentivizes sponsors to take more risk.

If people have the thick skin to deal with the tenants and the eviction process, they can make a good deal out of those properties. 

Lenders do not like to make deals with people who have not skin in the game and try to limit their exposure.  

If you do go that route, at least offer good terms for the 2nd - you're asking to make a transaction with none of your own skin in the game, so at least acknowledge that risk in the form of good terms for your financier.However, even with a seller 2nd, its going to be very difficult to find a lender who will lend against a portfolio like this if you aren't putting in anything.

He got into office with lies and the color of his skin PERIOD.

Just sign up now.This.....this one really gets under my skin.

Again, other might feel differently here.b) Skin in the game: as a conservative investor, I understand that the dirty secret of industries that the waterfall compensation is in the line with me and incentivizes sponsors to take more risk.

Just know that they will ALL require you to have some skin in the game, some more than others, that's just based on how much risk each one is willing to take.  

Since writing the above I've done quite a bit of research,  and considering my seller are Banks,  and my buyers are cash,  and I have to put up $2,500 (which i don't mind doing,  i consist it skin in the game) before the seller will make a decision to accept my offer,  if they don't accept, and i don't successfully counter my finds are released.

What I really want to know is: will hard money lenders consider the Closing Costs associated with the Purchasing of the initial distressed property to be part of the purchase price or does the borrower have to take care of that as part of having "skin in the game?"