It could make sense if the borrower's got a lower FICO here, but otherwise someone threw some yield spread in there probably. 

Working with a partner or family member on your first deal to spread your risk and learn valuable lessons. 

This gives you more flexibility while building equity and gaining experience.Risk Spread: More units mean a lower risk of vacancy impacting your overall revenue.

Word of Mouth....asking clients to help you spread the word is so valuable.

Yes I realize that there is a very low equity spread on this deal.

Still a spread between where owners want to sell and buyers want to pay. 

., treasuries), and mortgage spreads. 

Just have to buy the property cheap enough where there is a big enough spread.

I’ve seen investors spread too thin by picking up multiple inexpensive properties in less desirable neighborhoods, only to be hit with constant maintenance issues and tenant turnover.That said, there are still opportunities in the Midwest where you can find properties in stable, growing areas.

This way, they can diversify their investments and spread out the risk a bit.If they’re ready to jump in now, they might find some solid deals before the new year.