Once these type investments develop a history, I can see a market similar to peer to peer lending where default rates become standardized and known.  

I lend money and would not want to lend on this type of deal.Here are some resources to explore:Contact your local tax authority ASAP!

I went to 35-40+ different markets a year each year from 2014-2016 to scope out places to lend privately.

Speak with lenders - and consider that although they might agree they could lend to you today - they might not be able to when you need the loan.Unless the existing debt has no due-on-sale provision, there will always be a risk of the underlying loan being called.If it were to be called due:1.

Seems to me it would be a bit complicated with any sort of lending.

Without going down a rabbit hole here and overwhelming you, there are also creative ways to buy properties without needing to get traditional lending, but these types of deals are harder to come by and usually come with more risks. 

The borrower MUST receive something of value for the deed in lieu, agreeing not to foreclose immediately and giving the borrower time to reinstate, or providing a modification, is that something of value.I need to clarify that these notes are commercial and investment property, so do not have to comply with residential lending requirements.With a deed in lieu there is no foreclosure, judicial or non judicial.  

Great tools that get updated regularly.I am on the lending side of things and would be happy to hop on a call with you anytime to discuss financial strategies and help answer any questions you may have about nearly any loan product available to help you on your journey, even if they are not products my capital partners offer.We are all here to help you learn and grow.

This is an example of private lending which is different than the IRA owning real estate and does not trigger UDFI/UBIT tax.

I understand it become tad difficult to refinance since some lenders wouldn't lend on the home in trust, but is it easy to sell a home in a trust, just like you are buying in a trust?