Lenders generally want to see a handful of things:  good credit, experience and "skin in the game" or cash.  

If that is the next bubble, there may be a risk of colleges and college towns drying up.

The tenant should have zero involvement as to the contractors who are hired to work on your property.If you've got an unfinished basement it doesn't need to be bone dry per-say.

I'm aware this is quite a bit riskier then to be in 1st position, as well as the fact that the first lender (also hard-money) wouldn't be happy if he found out the flipper is looking for additional capital, even though he does have some, though limited, skin in the game. 

This should run you about $3-$4 per sq ft and take about 5 days to do because of dry time. 

You better know your partner and make sure they put skin in the game.

But I'm seeing some red flags here.Bottom line, I would be unlikely to do business with anyone who doesn't have at least some skin in the game, ie money.I'm not even understanding what Small Business Guy has to offer. 

I'm overpaying for dried snacks to last me and my family has their own shopping to do.

another option might be a less expensive carpet & pad (which you would replace every so often) along with some nice large wool rugs (more expensive but wear very well, and don't fade in sunlight) which would be dry-cleaned if needed.  

it doesn't sound safe because other has not skin in it , so he/she can take it lightly?