Hey Warren,Glad to finally have you participating in the wonderful world of Bigger Pockets... don't be a stranger.Kudos,Mary

Hello all,I'm a newbie (2nd post), and I just really appreciate having this forum and all the wise folks who take the time to participate!

I think if you can find that balance of letting them participate but still protecting them a bit, then it's an awesome idea.

I'm really glad to find BP, - I'm in awe of the sheer number of people participating.

So your $6k out of pocket gets you a C Corp and ability to use retirement funds to buy stock in your C Corp.The things I did not consider:- You are an employee of your C Corp, so if you hire any employees you need to extend many of the same benefits to them that you receive, including participation in retirement plan- If you hire employees you need to offer them the option to also use their existing retirement funds to purchase equity in your business- Possible advantage of LLC over the C Corp- Once you sign and speak with your assigned independent counsel they will advise you on the increased scrutiny you face with IRS, need to keep additional records and document corporate meetings, etc.If I had a more complete understanding in advance I may not have gone this route.

But I agree with Will that they probably want their loan secured by the RE that's providing the cash flow.If they want to participate in the profits, then I would put together an LP or LLC with them.

My name is Amber Butler I have actually been a member of bigger pockets for a couple months, but it was not until now that I have actually decided to start participating even though I literally go on the website everyday lol.

Bill,I currently have not participated in section 42.

Investors always saw value in REIT to participate in ownership of assets they would not be able to own ordinarily, i.e. class A multifamily, industrial, commercial, retail, etc.

Lokesh: if the home is owner occupied now and the owner is paying more than 31% of net income for PITI, than she could be eligible for a modification if the lender participates in Making Homes affordable. there are other in house modifications as well.If the homeowner qualifies the minimum payment could be as low as 31% of the owners gross income if you calculate a 40 year amortization at 2% for 70% of outstanding balance with a 30% balloon at the end of 40 years which will have no interest or payments for 40 yrs you will see what a minimum payment could be .