How do I secure someone's $$ with a promissary note against real estate?

I found an investor who will lend me 60K for my downpayment and holding period for a property I’m interested in for 120 days with a roi of 20k . The property I want has an ltv of 55% My question is, how do I take this guy’s funds and secure it against the property before I open up escrow. I would love to take him to the opening table and have him drop my downpayment but then that would put him on the title as a partner. Can I give him a promissary note against the property before I control the prop or open escrow.

Donna Bauer “the note buyer” illustrate a smiliar example. She raise the downpayment with a promissary note but I don’t understand the mechanics.

Thanks alot everyone, I love this board.

Hey Rightfield I’m in Leftfield on this so,
Need more info.
Are you doing a Land Contract, Trust Deed or Wrap?
Donna might be saying to draft a 2nd and sell it for a Downpayment??

To be absolute about the security of someone you don’t know - make it legal - everyone can talk a good talk - so just be legal about it.


Investor should submit his money directly to escrow. He does not have to be put on title as partner. You just need to instruct escrow to draft a promissory note to give him at the close.