Offering 5k return on a 10k investment

[Robert Ruiz]

I have a great deal in the works here in Louisiana. I need an investor to help me close the deal. I am offering 5k profit on a 10k investment. I am putting up all the money for the rehab, etc, This is NOT a first time flip. If you want to know more details please message me.
Thanks
Robert Ruiz
Sulphur La

[J Scott]

Hey Robert,

Just trying to help anticipate a couple questions you may be asked. The big issue I think a lot of people will have with this deal is that you won't own the property and therefore won't be able to secure the loan. While you can probably get friends or family to hand you $10K unsecured, it's unlikely that an investor who doesn't know you will be happy with "a promissory note and a handshake." You seem like a good, upstanding guy, but personally, I wouldn't lend money to a stranger without some security.

So, that leads me to my next question -- do you own any other properties free and clear where you could cross-collateralize this loan? Give someone first lien position in another project that you hope to be selling soon. When you sell that one, the loan is repaid.

In fact, I would seriously consider loaning the money under those circumstances...let me know...