This is not a great return, but not terrible.As others noted, there are other risks, like having the property insured at full replacement or purchase price, or if the option is 100% seller financing with no money down or very little, versus 20% traditional down payment, this can start to move it into a better investment.

When I had my traditional HML company and 100% of our funds were investors

Focus on Investor RelationshipsMany wholesalers work exclusively with investors, bypassing the need to act as traditional agents.

US, UK, Australia and other parts of the world are more for "traditional" investing in real estate for capital gain.

A traditional bank will not give a line of credit even if there is significant equity because it boils down to being able to pay back the money. 

If not, I'm guessing it would be treated as a traditional rental loan, either conventional or DSCR, using market rents rather than the rent in the lease agreement.

It merely means you will likely have a difficult time refinancing the property to a traditional lending source.

Theyre great products for self employed borrowers who will not qualify for traditional loans, but there's a premium for that convenience.

Multifamily real estate has traditionally been a stable asset class, and the Washington D.C. metro has traditionally been a stable market area, making the two together a good safe bet, especially for anyone with a long-term view of their investing strategy.

If not, you could always maintain 2 separate IRA accounts, one self-directed for private lending, and then another for your traditional investing.