That just means they deed you the house so you dont have to foreclose...It sounded like you were considering doing a loan, if that's the case you shouldn't plan on anybody helping you secure you're collateral should things go bad.

You might also look into a different kind of loan based upon other collateral until you have longer history.Rick

So if you cannot do a workout with the lender and need to take the property, your approach to that may be dictated by the presence of junior liens, which can include 2nd DOT as well as judgments, etc.When you bid on a note from FCI, the collateral files are shared with you so that you can complete due diligence before moving forward with the purchase.

I am no expert on UCC filings but as I understand them you can name collateral other than real estate. 

Eventually sold my equity back to my partner to cash out.Apartment building I used another property as collateral for a second on the apartment which was used as the down payment. 

Your partner owns real estate which he has pledged as collateral on a loan, creating a lien on the property.In Texas, we do no "add a name to the title."  

I am trying to determine the extent of the guarantee needed and how best to structure the guaranty to include the additional stores as collateral.

Quality of collateral file and diligence package?

Whats more important, i feel will, be seasoning time and collateral that stands behind them.  

I'd then use the free and clear cash flowing properties  as collateral to raise additional private money and lather / rinse / repeat the process.