Personal money How did you add value to the deal?

While I don't personally cover the Scranton area, my team and I work extensively with investors in the Philly suburbs, and I’m always up for a great real estate conversation.

I'd personally be a bit more conservative with the underwriting and make sure to see what the carrying costs could potential get to especially if this is a bigger renovation and not just cosmetic. 

I have no personal experience with them but they are the only company I know of that are built more for self managers and small portfolios. 

If the person stops making payments, they alas,  have to foreclose.

He’s not a pushy salesman, and I’ve got a business partner who has worked with him for the last 10 years without any issues.As for your situation, I wouldn’t say it sounds like a Ponzi scheme, but I’d strongly recommend meeting with the fund sponsor in person and asking as many questions as you can.

As a beginner, I would personally get my feet wet with something a little less risky without a balloon payment like that.

Everybody is doing something different, and it does not mean it works for another person.

Ultimately it would boil down to your personal risk tolerance.

K1s show your share of income or losses from the partnership, and you include it on your respective personal tax returns.Now, to your partners.