Some companies are also willing to provide some actual data performance from similar homes that they currently manage which is useful to vet the quality of the guarantee.Hope that helps!

@Patrick Flanagan and @Alex Wesling there's actually a lot of interest in build-to-rent and building small multifamily and in doing hybrids with SFH and ADUs.

The numbers on paper will NOT match reality. 

Does anyone know how it actually works and applies to commercial real estate?

hey Mitchell, actually I realized after I posted that I didn't include a lawyer, and I absolutely should have :) I'll reach out

While these may be viewed as a better alternative than an LP capital call, they can also be used as ways to make a deal appear that it is in better shape than it actually is.  

One of which actually shut down, removed all their content and disappeared about 3 weeks into my “mentorship” thus having effectively stolen the $9,000 I had spent on the course.

Mike and I actually brought up your name recently and wanted to reach out.

That way we would protect ourselves/the LPs in the event of a failed raise or financing falling through.We would be more than happy to give an EMD provider a higher share of the deal (of course), just wonder how common it is that LPs actually do this... 

Most PMCs HIDE their actual mark-ups by only giving the owner invoices on their letterhead (so you don't see their cost) or charging by the hour (the hourly rate includes their mark-up).