Another push on the legal side deals with "predatory lending" that can apply to a borrower or a lender, the party that initiates the seller financing into any deal.To understand seller financing you must understand conventional financing, the key of successful underwriting and originating a seller financed transactions is to lead a borrower into conventional financing so that the seller financed obligation can ultimately be paid off in the future.Otherwise, the seller financing would have to be fully amortized and paid off to the seller over time.To avoid predatory issues, being an "investor" on either side of a transaction, you need to understand conventional lending accepted practices, just because a seller is financing does not give them any right or privilege to do just anything someone can dream up.Before you can understand RE financing, you need to master the principles of real estate, 90% of those spouting off about financing don't even have a command of RE knowledge, much less financing.There are many strategies that can be done legally with seller financing.

(d) Solicits borrowers or lenders for or negotiates loans or collects payments or performs services for borrowers or lenders or note owners in connection with loans secured directly or collaterally by liens on real property or on a business opportunity.

They worked for reasonable pay.A friend got in a jam and asked if she could “borrow” a VA to help her with creating a spreadsheet.I let her borrow my team.

If the project cost $1 million to complete and the borrower was asking for $800,000, the loan-to-cost (LTC) ratio would be 80%.

I am a brand new investor about to do my first flip, and have little I can spend on the project, so I'm looking to borrow the full sales price (I believe this is possible?). 

And lenders often string borrowers along for many months then deny the mod.You sort of imply you found out about this after the wedding.  

Many times they can leave out key details on the purchasers.Right now you are looking at making a life altering decision and you do not know what the exact issue is with the borrower currently.

I like the skip-traces because it has family phone numbers as well to try to reach a borrower.  

You need to look up the state redemption requirements for a borrower to exercise the right, generally if they fail to give notice, provide a bond or follow the requirements prior to foreclosure they lose the right to redeem the loan.

That's who you're competing with in today's frothy market because bubbles make everyone act stupidly.Another way to protect yourself is buy a building with some value-add component, borrow 10 year fixed rate money with 25 year amortization and 70% LTV.