Hello BP! I am one step closer to officially being an investor. I have been presented with a promissory note secured by real estate by a borrower, but I am very nervous about how to proceed with the drafted note provided by the borrower.

Could you guys glance over this note and tell me if there is another note I should use or if I should spend the whopping $3,000 consultation with a real estate attorney.

-----------------------

TERMS

FOR VALUE RECEIVED, the Borrower promises to pay to the order of Lender, at its principal office located at ________ or at such other place that is designated in writing by the holder hereof, the principal sum of XXX Dollars ($XXX), together with all charges and interest herein provided, payable at the rate and in the manner hereinafter set forth:

Borrower shall make the payments of principal and interest at the rate of TWELVE PERCENT(12%) per annum based upon a twelve (12) month term with the period starting from the day the amount borrowers has been deposited into the Borrower's bank account estimated to be on 2/20/17 and the term will end 6 months after on 7/20/17. The total interests amount will be paid at the close of escrow when the property is resold to a new buyer. There will be no monthly payments and no points or loan fees.

This Note is and will be secured by a priority security interest in the real estate property of the Borrower. The Borrower, Huong Tran will personal guarantee the principal sum amount and the interest due by securing and collateralizing the following properties owned under the corporation named XXX, LLC and under (INDIVIDUAL)..

i. Property 1

ii. Property 2

iii. Property 3

iii.Property 4

iiii. Property 5

The initial term of this Straight Note Agreement shall be for the term of Six Months (6) (the "Initial Term") commencing on the date this Promissory Note Agreement is executed by authorized officers of XXX, LLC and Lender (individual name)

Borrower shall have the right to prepay all (but not a portion) of the indebtedness evidenced by this Note at any time, by paying the Lender an amount equal to the sum of (I) the principal balance then outstanding and (ii) all interest accrued to the date of such prepayment.

Lender and Borrower intend that the relationship created and evidenced by this Note and the Loan Documents shall be solely that of debtor and creditor. Nothing in this Note shall be construed as creating a joint venture, partnership, tenancy in common, or joint tenancy between Lender and Borrower.

In the event that the holder wish to withdraw any portions (with prior notice) of the principal amount during the term of this note, Holder will waive any/all interests earned and only the initial principal amount will be returned to the Holder. This note is subject to Section 2966 of the Civil Code, which provides that the LENDER of this note shall give written notice to the BORROWER, or his successor in interest, of prescribed information at least 90 days and not more than 150 days before any balloon payment is due upon requests.

All payments under this Note shall be made in lawful money of the United States of America. The principal amount of this Note may be prepaid, in whole or in part, at any time without penalty.

Should suit be commenced to collect this note or any portion thereof, such sum as the Court may deem reasonable shall be added hereto as attorney’s fees, the LENDER agrees to pay the costs of such additional sums as a court may adjudge reasonable as attorney's fees in any suit.

Documents shall be construed under the laws of the state CALIFORNIA of the UNITED STATES. Any alteration, change or modification of or to this Note, In order to become effective, shall be made by written instrument executed by both the Lender and the Borrower.

SIGNATRES AND NOTARIZATION BELOW

--------------

I showed this to my attorney, not specialized in REI, and she said it's missing a ton of other aspects. Does anyone have any advice for me before I pay a RE attorney a grip of cash? Much appreciated!