How Tiered Returns Can Help Structure Private Lending DealsHey BP community,I wanted to share some insights on structuring private lending deals, particularly when working with private investors to fund real estate projects.

@Frankie Lotrec if you have an existing loan on the property and you plan to legally convert from a 4 unit to 5 unit , you should check the loan documents because you’d essentially be converting it to a commercial property, since 5+ units is considered commercial and subject to different appraisal approaches and so it would rule out the property being considered for purchasers utilizing residential financing.  

I was approached by Avantstay and wondered if anyone in this forum has had experience with them from owner point of view. 

One more tip hit town homes and condo communities in the area.

Focus on investing and managing well, not protecting yourself from the boogie man.

Keep that focus, but as you learn things will change.

Quote from @Makani Donaldson: Hey everyone, I'm wondering what's the best way to approach a seasoned investor to start out. 

Verifying last 2 years of rental history and income extremely important to find the “best of the worst”.Make sure you understand the Class of properties you are looking at and the corresponding results to expect.The City of Detroit has 183 Neighborhoods we’ve analyzed.DM us if you’d like to discuss this logical approach in greater detail!

Be professional, but also authentic and approachable.

You can contribute by finding deals or managing properties in exchange for a share of the profits.Lease Options: Control properties without owning them by renting with an option to buy, and potentially sublease for profit.Owner Financing: Buy properties directly from sellers willing to finance, bypassing traditional lenders and often requiring less upfront money.REIGs: Join real estate investment groups to pool funds with others for property investments.For a more hands-off approach, investing in turnkey properties in growing markets with minimal upfront investment would be ideal (like in the Southeast and Midwest of the country).