If you must foreclose, you need to step in and do what they failed to do.This is not exactly "passive" like a stock you can buy and forget. 

No washer or dryer or dishwasher these are the appliances that fail the most. 

If you fail. 

They fail to account for significant differences in property condition and location.

Once fully satisfied, the split becomes 50/50.When accessing this deal, here’s what went through my mind:A PMP would have to be okay with holding their funds long-termThe borrower would need to be experienced with doing wraps, as it takes time to get willing and able buyerThe borrower would need experience in pivoting to a different exit strategy should they fail to successfully execute a wrapWith NO EQUITY on the property originally, and the PMP being in second position, the borrower would likely need to cross-collateralize if the PMP has NO INTEREST in taking over the propertyMy conclusion, from looking at this from a thoroughly analytical standpoint, would be only someone who has a moderate to high risk tolerance and cares about cash flow without pulling out and parking their money into numerous deals would likely lend on this.Anyways, thoughts anyone?

also, any recommendations for a key-lock box as backup if the smartlock fails? 

They get one chance and if they fail to follow through, they're done.

Backup Withholding: If a contractor fails to provide a TIN or gives you an incorrect TIN, you may be required to withhold a percentage of their payment for federal taxes (known as backup withholding) and remit it to the IRS.Following these steps will ensure you are in compliance with IRS regulations and avoid potential penalties.

Look up the Walt Disney story - Walt was the visionary who did not have his integrator for the beginning of his journey, he failed over & over.

I see a lot of properties failing due to poor design and lack of amenities.