Meanwhile your peers who own $100K houses in Detroit (no knock on Detroit, just used for illustration purposes) feel the need to create a convoluted web of entities and ignore most of what I shared.

My wife and I are passionate about real estate and have secured our first investment property this year of 2024 on Hawaii island.

State Where the Real Estate is Located: In addition to your home state, the state where the real estate securing the mortgage note is located may also have its own licensing requirements.

Consider all the things that could go wrong and see if the lease addresses them: unauthorized pets or tenants, early termination, security deposit, lease violations, late rent, eviction, lawn maintenance, parking, etc.5.

Further,"At least one borrower must occupy the property and sign the security instrument and the mortgage note in order for the property to be considered owner-occupied."

I'm asking for 1.5 month's rent for security, which totals to $5,700.

Make sure to do your market research, budget for renovations, talk to other investors/agents, and build a relationship with a lender to secure financing and get advice.

Leveraging Mark's local market expertise, we secured the property for $60,000.

It is the large community mailbox and you usually have to pay to rekey the whole thing for security issues.

I agree with you that if you are raising capital, you need to have other responsibilities in the deal, and you can't  get compensated for raising capital unless you have broker deal license.It can work if the sponsor who is running the deal is qualified, but unfortunately, people who purely raise capital can't vet a sponsor.Caution: If you're going to raise money for someone else's deal, have a conversation with a securities attorney.