@Tushar Shah we are focused more northside - portage park, jefferson park, irving park, forest glen.

although looking at the assets I have to assume this is subordinated or Junior debt.so you are taking a risk in a default scenario.. if you want to do something like this.. you may want to check out Bruce Norrisout in Riverside area  they offer 8% I think.

Some of the areas I am listing below might be B+ or A class neighborhood since they offer properties in those areas as well but our focus is B class.South Holland, Matteson, Blue Island, Bellwood, Richton Park, Lansing, Bollingbrook, Lock Port, Homer Glen, Crestwood, Alsip, Oak Lawn, Evergreen Park are to name a few where they invest.How do you select the property?

I am just a few minutes down the river in Riverside.

I live in Orange County and work out of an office in Fountain Valley investing in the OC, LA and Riverside County areas.  

Purchase price: $240,000 Cash invested: $150,000 Sale price: $495,000 This quaint 1500 sq. ft. home in the most desirable portion of Glen Ellyn is a hidden gem.

Obviously the FED rate will indicate rate changes, but market changes will be varied and local (look at how differently the financial crisis affected places like NYC and Nashville compared to Detroit and Riverside, CA). 

I am a property manage in Jacksonville From the Westside- Riverside to Orange Park and the beaches.

You are in Riverside, CA.  

I have found deals in San Bernardino and Riverside Counties with positive cash flow.