When I told him it would be a very bad time to sell the mortgage notes as there were almost no buyers, he said he didn’t realize we were investing in non liquid assets?  

Living in Southern California, I realize the market here is quite expensive, and I’m not sure if it’s the best place to get started.

A lot of these numbers of what I have pulled from the real estate listing, and inquiring on property management/landlord insurance rates.I am not looking to make a fortune overnight and realize this would be a slow return on investment/passive income.

No appraisalI realize I don't get to choose the terms when using a white label service but I'd like to get close until I have my own funding. 

I hadn't realized I was banned from this group.  

You would want to start with searching on YouTube for: "Clayton Morris Loses $7 Million Lawsuit" He didn't realize that @James Wise had his ish together and got a big wake up call.

I looked it up and saw it too, but then realized that they were referring to Titan Trust Bank. 

note investor buys a wrap note does not go through escrow and does not realize the person they bought the note from did not pay the underlying when the money was transfered.  

Then I realized having 2 paid off rentals was the dumbest thing I could do financially. lol.

Many investors don't realize they've agreed to dump more money into the syndication if it runs low on cash (capital call).