"About" 70K ("about" is a dangerous word) puts it at $91K.

It is very dangerous to pay guys by the day and not by the job.

That is an interesting design and I see how it could make sense with basements that are in danger of flooding.

If it goes to auction, there may be a "trustees deed" or "sheriff's deed" or some such created.This is a bit of a dangerous thing to be doing on your own.

I would say take 10 or better 15% and for maintanance you should calulate $100 per unit and month = $3,600.Hard money can be very "interest" expensive so you need an good price for the house and if you finance without your own money here - puhhh - this can be dangerous.

I would say this is the more realistic danger than the lender calling the loan due and even this issue isn't likely to occur; but, be aware, if you do have title issues you may be 100% on your own.

At least if you easily found #241 existed and was just foreclosed on you could see how it might just be incompetence on the guys part.Don't know WHAT the scam might be and how you might be in danger though.

At that level half would be customary with good income, they are looking first to the collateral.Need much more info to give a thumps up or down.What ever your partners agree to as to your liability to them.Might search for capital underwriters but this is small, they sometimes kiss the note for a fee or bond the investors at a some level.I guess you're saying a bank is willing to make this non-recourse, if you are doing that with individuals you're heading into dangerous waters.

I can talk, and I can listen, but in unfamiliar territory, it can be intimidating as to what to say.

@Vlad PopoviciAs Ken indicated, this is territory to consult with an accountant.