He wants to have the bank re-appraise the value to try and drop the PMI. 

@James Marshall I have not been on the borrowing side of this scenario however I have been on the bank side.

Make sure it explicitly explains the process for termination if you are unhappy with their services, but especially if they violate the terms of your agreement.3.

I know people who brought 100+ SFH from bank for avg of $90k per house in the BAY AREA in 2010. 

If you go into property management you will only learn property management, if you go work for a contractor you will learn about construction,  if you go work for  a wholesaler you will learn about marketing and sales, if you want to learn about underwriting or lending go work for a bank, etc etc.It really depends on what aspect of real estate you want to focus on. 

He withdraws his $100k cash from the bank account and walks away. 

This is only an issue if you work with larger banks and they sell off the debt to Fannie / Freddie.

right now I just have my agent and my financial advisor at my bank, should I build a relationship with a lawyer before hand and find a house inspector as well ?

**With that said, aside from the credit report and liens on the other property, the lender could also see the deposit/wire from the private money show up in your bank account (they will be asking for bank statements for your down payment and reserves) and if they see the deposit, they will ask where that money came from.

Never, never lend your own money to someone you know with you as 2nd place with another bank.