To decide whether to invest in a certain First Trust Deed (FTD), there are a couple of things you may consider:

1. Is the Loan To Value ratio low enough to protect my equity in case of a foreclosure?

2. Do I want to keep this property if nobody wishes to bid in the foreclosure process?

If the property is in a desirable location or the LTV is low, there are usually multiple bidders and you will get all your money back including all the late fees, penalty fees and foreclosure expenses.