. - there are numerous ways to achieve sweat equity from boring but true rehabs, to development, to various localized sophisticated options

I am willing to go so far as to say they intentionally are seeking investment sources who don't have the means or sophistication to conduct appropriate diligence.Sadly social media has made it far easier for these bad actor capital raisers to get in front of their target audience with ease.

Even looking back at the C/D section 8 type properties I owned at the start of my investment journey 10 years ago, those tenants weren't sophisticated enough to find me anyway even if I gave them a reason to (which I didn't).

Attempting to get in the middle of 2 sophisticated parties with a competitive middle man already in the market (commercial brokers) is tough.

I was investing in more sophisticated value add offerings. 

I am not an accountant, but need to start using more sophisticated accounting software. 

It also requires gaining a level of sophistication and knowledge that not everyone has the time, inclination or ability to do.

(Mistake #3, not monitoring it myself or being a more sophisticated system.).

The file is limited on what it can do, and misses the mark on things like depreciation recapture or like-kind exchanges, which will impact returns, but it’s fairly sophisticated relative to what you can find out there or if you were doing it yourself with limited knowledge.

The reason you can generally only participate if you are accredited is because regulators know that it is easy to get taken in these deals and it is assumed (wrongly so IMO) that if you have a higher net worth and can plunk down a big chunk of cash that you have the sophistication to understand the investment.