@Colin Williams,Just to clarify some definitions for a financed property secured by a mortgage:  the lender is the mortgagee and the borrower is the mortgagor.

Do we Refinance our existing properties to get the equity out or just borrow under the LLC with a personal Guarantee? 

Are you planning on borrowing the down payment from your father and applying for bank financing for the rest of the purchase funds?

No one put a gun to stupid peoples heads to force them to borrow money they couldn't afford to repay.

I considered it last yr but was told I had to borrow at least 144K. 

If you are hoping to borrow 75% of its value for other properties, then they will require your return on THIS property to still be higher than the mortgage of $76.5k that you will have incurred.

Their only option is to foreclose on the asset or do a workout with a borrower to get performing again.When someone has a full personal recourse loan guarantee against them and assets to go after lenders will bend the loan criteria a little.

They also could be new enough that they do not have any track record.Depending on the State of KY laws check to see what are the regulations concerning lending money.Ask you contact person for a letter from their bank saying they are in good standing.You have reason to be concerned.Why not borrow locally rather than internationally?

I have a number a agents that have let me borrow their access some for free others for a small fee, but always much less than what I would be paying if I had to buy it with a license. 

I would reserve any HML borrowing to an extremely good value deal with a quick turn around.