However, I wish I went just to see first-hand what happens in these situations.I say keep following up to see what you can uncover. 

Something to consider is to look at the blended rate of return between the first loan you already have and the 15% you're willing to pay.

@Jacob Chaney You should run your numbers to come up with a blend of LP Equity & Mezz debt.  

So if something unexpected is uncovered during due diligence I can't get the deposit back. 

@Bob Prisco thank you that helps I keep flipping from they are people to this is a business I need to blend them together to help everyone involved.

From what I've uncovered after speaking with some local lenders it's possible to obtain residential mortgages through an LLC, however lenders won't consider it unless you've been able to demonstrate positive income (by means of tax filings x 2 years) sufficient to cover the added expense of the new property. 

You can also use a blended approach that can add some defense to your situation. 

The homes are in move-in ready condition i.e. no rehab required or no major issues uncovered in the inspection report?

It could be a blend of more than one of these things. 

People don't like to be jerked around so I've used the pass/fail inspection a few times to let the sellers know that I'm familiar with the rehab needed and unless something major was uncovered like a collapsed sewer line, I'd close at the price I told them.