More sophisticated and experienced investors, and those employing knowledge attorneys will understand that while not an absolute, a REG D offering offers some amount of comfort in that the sponsor has placed his offering on a more “sophisticated” level than an intrastate or general exemption offering.  

Likely due to low occupancy and the perception a different use has more demand.

It’s hard to hear this perception shift, as to me it seems like we are just building on our foundations.

Can't speak for AirDNA, but you don't have to have sophisticated software to know that Galveston is a great spot for a vacation rental.

But a sophisticated borrower who might have 100 of these or more and they are rented can just stop paying rip rents and then wait for the foreclosures . 

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

Henry,It sounds like you are a sophisticated novice and thought through many aspects of what you're doing. 

This is assuming you meet the other requirement for a syndication - accredited and/or sophisticated - depending on the ruling they utilize. 

It’s a quirky story, but will open your eyes to a different perception of employment and how real estate can be a great vehicle to wealth.I wish you all the best!

We buy a lot of non performing loans.I suggest to newcomers that they invest with an experienced flipper, fix and flipper, do at least 3 deals and understand the terminology and the way business is done before you venture out.we only accept accredited investors that are highly sophisticated