The Borrower give you collateral worth more then what your giving in cash.

Do you have enough equity or collateral to self insure?

With collateral that weak 80% of upb is a pipe dream.

I look for a minimum absolutely value return and also look to leverage most of my flips as much as possible.I don't consider the leverage risky because it is generally a short-term loan, and also because I have the cash to collateralize the loan if need be (so I can reduce leverage to 0% immediately if I need to).Given those two goals (minimum return and maximum leverage), I find my returns to be relatively consistent and definitely reasonable given alternative investments.

Each member can loan money out from that capital account and in the Operating Agreement address assignments of collateral.

It's complicated because of variations in state law, but, generally, a mortgage has two parts: a pledge of collateral, represented by the home, and a promise to pay off the loan.Lenders may release property liens in order to facilitate short sales without releasing borrowers from their obligations to pay under the promissory notes.

(iv) Privilege is reserved and Borrower may, at any time, substitute for the collateral that is security for this NOTE secured by a Deed of Trust.

If worried don't make the loan or require the Grandparents of the borrowers to collateralize their homes as well...Good luck

(iv) Privilege is reserved and Borrower may, at any time, substitute for the collateral that is security for this NOTE secured by a Deed of Trust.

(iv) Privilege is reserved and Borrower may, at any time, substitute for the collateral that is security for this NOTE secured by a Deed of Trust.