Buy and hold several or offer to other investor as lender?

[Jeff Wright]

With a significant amount of money in hand, would you use it to buy property or use your funds as a personal lender?  new to the game, wondering what has the most risk to it. 

I understand lending requires really knowing and trusting the people you work with, and buy to rent requires really knowing your own capabilities and those you work with. But wondering why you would pick one over the other?