We are looking to borrow ~$10.5mm to development the  units.

The best thing is the deal is based on the property value and not the borrower's credit or income.

As for those with hard money the reason he approached you is he has no money to borrow more.  

Meaning, if you borrower $100k for 1 month, 1 point in the beginning = $1,000 on top of all other closing costs, 15% interest for 30 days, and then another $1000 again when you pay their loan back to them (when you complete the refinance).  

The idea was to have him be the co-signer/co-borrower, not sole borrower. 

Example, borrower owes 100K, property worth 50K.

Yes with 2 members, even though you are married it is partnership, and that means filing a F1065 or 1120S in addition to your F1040, but I have no idea if there is a way around by switching to sole member and counting your wifes income as maybe an outside co_signor or borrower or the like?  

Hi @Kent Byron until you buy the loan and become the lender you cannot run any credit on the borrower.

I would be lending to borrowers who are using the loan for Non Owner Occupied, single family 1-4 unit California properties, short term up to 1 year and I would charge points and interest. 

As far as borrowing, I'd have to do some recalculations on our budget to see if we would be comfortable moving up to a $400-500k loan etc.