It's a new industry, so there are still unanswered questions, but we've invested in 20 properties using crowdfunding so far and it's been a great alternative source of capital for the real estate companies we're working with.

It's good that your mentor has good intentions, it certainly beats the alternatives!

Any other legal advice is ILLEGAL and may be very incorrect.Seeking legal advice from an attorney in the area where the property is located can be a wise and very economical decision considering the alternative.

Connie,I know a lady in the same boat someone talked them into buying a rental house, and now it is negative cash flow, and both had to get an alternate job to pay for it and save their credit you might think about an alternate job or let the bank have it back.Joe Gore

This is going to make me shop other alternatives since I have not checked the market in a while.  

We knew there was a better alternative but did not know what it was.Travis

If a alternative material is going to be used they must specify the deviation.

It is also very vague.Seeking legal advice from an attorney in the area where the property is located can be a wise and very economical decision considering the alternative.

Is this fine or is there a better alternative?

Alternate valuation.