Then detail charges on the security deposit reconciliation for rekeying the unit and for the cost of the cleanout.CRLTO 5-12-130 Landlord Remedies:(e)Abandonment.

What generally happens to the property securing the loan?

The property is located in NJ and the lease is 50% of market rate, zero security deposit with specific disclosures that property is subject to foreclosure (but does not explicitly say lease is automatically terminated at that point).

If however this is someone worth millions with a personal guarantee who just wants to limit cash down then their might be more security behind the second.Step 4 will the borrower cross collateralize the second note?

You'd be surprised how many people would happily put their money in a guaranteed 10% return as long as it is secure.

I put a lot of weight on tenants who have proven to be low maintenance. 

Our plan is to take her security deposit to pay for the replacement of the carpeting and to write her an invoice for the remainder of the bill and take her to small claims court if she doesn’t pay the outstanding balance.

I'm close to securing a contract on 4 unit property in Middletown, OH.

I understand I’ll have to hire a property Manager, I just don’t understand how security funds are handled Incase of emergency and immediate attention in the scenario where I may or may not be able to reach right away .

The tax lien (also called a fifa) exists prior to the tax sale and is recorded in the county's lien records - it's an unpaid debt secured by the property.