Its not a LLC Idea it is a method it is very common so strike that through. The LLC is the escrow for the property understand that? Borrower defaults the lender has the property. Its like a legal multisig is the best way I can explain it.
Why would the lender go after the borrower if you have collateral worth more then the loan in your possession?
If the property is not able to sell for the amount of the loan then the lender will lose. The kind of real estate you are talking about is speculative and is not guaranteed to increase in value. You have collateral but the collateral may not sell for the amount of the loan, traditionally speaking when this happens the lender would go after the borrower personally, with a LLC arrangement this is not possible. Why would the lender go after the borrower if you have collateral worth more then the loan in your possession?
Why should I pay more then 50% when I am physically out there fixing and finding the property? Getting them ready for market and selling them?
Your time and expertise is not worth this much. The lender could hire his own contractors to preform the repairs himself for less cost/risk. If you want to come swing a hammer and work I will be will to give you more of the cut. I can wholesale you the property for +10K on top of the prices listed if interested and you can do it all the work yourself if you think you are up to it 
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Why would anyone ever do that? If someone wanted to handle the repairs themselves they would buy the property from whoever is selling them directly. Do you somehow think that you making a post on the internet somehow entitiles you to $10k if they end up buying a distressed property because of it?. Break down of math for you
Total Loan 73,000
Total Collateral 109,000
Its like someone giving you 149.32% collateral on your loan.
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See my first comment. Total Loan 73,000
Total Collateral 109,000
Its like someone giving you 149.32% collateral on your loan.
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--snip---Start reading here http://www.biggerpockets.com/ come back after you have read this part
http://www.biggerpockets.com/real-estate-investing
Then visit
http://www.hamiltonridge.com/
http://www.thenorrisgroup.com/
http://www.dohardmoney.com/
http://www.pinefinancialgroup.com/
http://maggiocapital.com/
http://shermanbridge.com/biggerpockets/
http://wdbfunding.com/
1) Lender never lend more then 70% of the ARV of the property. So if something does fail they can at least get the money back.
2) If a lender wants to find discounted properties.... then they would not be a lender. They would be a fix and flipper lol. Its called passive real estate investing.
https://www.realtymogul.com/blog/5-reasons-for-passive-real-estate-investing
3) Non of these houses are "for sale" the are not listed. These are houses that would never qualify for a traditional loan. It takes 60+ hours a week to find these properties. 1/20 is not even worth the time. But I visit them all
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//traditionally speaking when this happens the lender would go after the borrower personally, with a LLC arrangement this is not possible.
Key word bolded this does not fit in that category.... its a REI loan.