Some general guidelines:- yield for the note-buyer at purchase will likely be 8%+; most are looking for 9-15%- min 10% borrower downpayment if owner-occupied, 15%+ for non-owner occupied- very few will buy the loan above 75% ITV (note purchase price/fmv); ITV plays a big role in general- the more seasoning, the better; 6-12 months minimum is ideal (some will accept less in light of a strong overall profile) - if owner-occupied, then make sure the note is compliant; use an RMLO if possible- other variables, like the borrower credit risk, collateral profile, and quality of the paper/structure will be more important with low/no seasoning- use a licensed servicer for servicing Thanks for the advice Patrick, it gave me a lot to consider.

This requires capital since you won’t be able to use the property as collateral for a loan until such time as the liens are paid off.  

Your LTC is the purchase price of the collateral divided by the loan amount. the LTV is the value of the collateral divided by the debt outstanding.

I evaluated the deal like I would any other—based on cash flow, collateral, and real estate fundamentals.

A few questions:- How do I collateralize the land to support funding for the build?

Hi guys,I recently read that to satisfy SBA loans collateral, they are willing to take second position on equity from rental properties.

Using a 65% collateralization with our lender.  

There is no list of qualified gap lenders -90% of them online are scammers as the reality is any sane investor will not take the risk of financing up to 100% of the transaction - and if they do it will be at credit card rates which makes the deal metrics almost never work.only time it works is if there is a borrower who has other assets that they can cross collateralize.

.- Cross-collateral risk: Don’t overextend equity across too many properties without clear refinance timelines.Turnkey providers like ours can help source rental-ready properties in strong cash-flow markets (like the Midwest and Southeast), making it easier to hit your HELOC payback goals.You're thinking like a savvy investor — leverage with intention, always with an exit in mind. 

Your property is the collateral.