my sweet innocent tenent never cleaned a thing in 9 months , she stained the carpet , it took 26 passes with a steam cleaner to get the carpet looking like new , she kicked a hole in the wall , these are just a few things , total 1,500 dollars worth of clean up and damages, she paid 400 for security deposit , do i send her a bill for the difference or do i have to eat the diff, i took pictures before she moved in and of all the damages after she moved out , :shock:

Would you do a JV, or just secure the note to the property and have your LLC as the soul owner?

Both parties are running the risk of losing the property or being forced to pay the loan off in full if and when the bank enforces the due on sale clause which is present in almost every security instrument I have seen.

This will give them the security of knowing it is sold and the opportunity to make more money on the sale of it then just selling it to an investor.

The legal details are more or less the same.1st loan secured by either a mortgage or trust deed.Seller financing providing a second loan and secured by the property.I will let the mortgage brokers spell out the financing details (rates and terms).Be very careful with commercial.

So I didn't process or underwrite the lonas but I was constantly talking to the people who do that because I wrote most of the software they used.

In the case of Net Bank part of the problem was the bad loans secured against real estate.

In the software sector open bugs matters.

I allowed a family to move in without a security deposit but they put in a fence in lieu of.

Extending Jeff's points a bit.If you pool money with 1 person you can still be in violation of the security laws.