Because they are locked into low APR.

@Dan DeGroff - I think you can probably do this as a primary residence since the scenario makes sense (e.g. you travel to Aspen for work during ski season), however, there are some major red flags here that you will need to explain and support during underwriting (e.g.

Selling property for much higher than what a licensed appraisal would come in at moves the transaction into fraud territory.Note/lien = sales price - cash downAPR: fair reflection of riskIf APR is high => "high cost loan" under CFPB => appraisal and inspection become MANDATORYAnything less than this...that's your butt on the line.

They have one beverage too many, get an idea in their head that they can fix their problems by purchasing a short-term rental, and all they have to do is click a button to ask their question.I wouldn't bother sending financials to anyone until they show a pre-qual letter from a bank to demonstrate they are slightly serious.

Not only that seconds the interest rates need to be above 20% apr in my mind to take on the risk..

Do you have a pre-approval or cash ready?

I would say you are already a little out ahead of your skis because you are talking about growing and scaling without even understanding the partnership and real estate portion of your prospective business.

I look at it through the lens of: 1) If I contribute to a pre-tax account like a pre-tax 401k, Traditional IRA, SEP IRA, I get a tax deduction, but now I'm in a partnership with the IRS, but I don't know what I will have to pay them later on in life when I start pulling money out (that is because when you distribute you pay taxes based on your effective tax rate at that time, which can be unknown). 2) With Roth accounts, (Roth IRA/Solo 401k(k) with Roth component), I can get the taxes out of the way on the seed, so I don't have to pay on the crop. 

If you buy a pre foreclsosure and sell it within a few years you owe the owners who sold it to you 70 or 80% of whatever you made.. thats why I no longer do foreclosure rescue.. it just takes one person to file a complaint with the AG in states where this is highly regulated and it becomes a very stressful for you.

Overall, around Flathead Lake has very seasonal occupancy, but if you’re a bit closer to Glacier NP and Whitefish Ski Resort occupancy is much better.