In FL law, there are only certain reasons why a seller can cancel a contract (buyer can't get financing, force majeure, mutual agreement of both parties, title issues, etc)- Can this 2nd position lien holder prevent the sale of the property, even though the sale was allegedly agreed upon by the primary lien holder?  

I personally work with them as a client & can agree that the different activities can be separated in order to prevent additional liability to reduce risk. 

With this kind of lopsided growth, you'd be completely prevented from pulling out equity and using it to finance more purchases without being buried by negative cashflow.

That prevents a lot of headaches later.

I believe it tends to give me a slightly lower return, because the sponsor is going to be more careful, and if there is a severe downturn will prevent me from taking catastrophic losses.

That will help prevent disputes.Note: This information is for educational and informational purposes only and does not constitute legal, tax, financial, or investment advice.

A first-and-second lien structure, on the other hand, creates unequal rights and obligations that can cause one IRA to compromise or act in the interest of the other - which is exactly the kind of self-dealing the IRS looks to prevent.

It doesn't seem like it would hurt, but might not help.The situation is so missed up, and there's so many other issues (property damage) that I know that we'll be going to court over one thing or another.Our sole motivation for controlling the property is to prevent further damages.

Investing in the right guidance early on can prevent major issues later and give you peace of mind as your portfolio grows.Wishing you continued success on your journey!

This safety measure aims to prevent structural failures and ensure tenant safety.Originally, the first inspections were due by January 1, 2025, but a recent update—AB 2579—has extended the deadline to January 1, 2026.