Disclosure Statement
Hello BP'ers, I read an article by Alan Cowgill about how if you're gonna use a private lender for your project, you need a disclosure statement..He said in the disclosure you have to put that there's a risk involved as in all investments.
My question is this: If I'm doing a fix and flip and am willing to pay the private lender on their terms, what risk do they undertake? Their position is secured by a Trust Deed in their name w/ a promissory note and if I default on my payments, they can foreclose like any lender would....Again, what is the risk for them?