I'm a managing partner at a holding company that does things a little differently, and we have a one stop shop for everything.

I'm a digital nomad who purchased a 4plex in Carson City, NV a couple of years ago as a buy & hold.

Even this is an incomplete list.Worst of all, the main reason not to make this loan is that you will not hold a first position-lien against the property.

For a 3-4 family home, it's more complicated—you're looking at commercial lending, which requires a large upfront investment, high holding costs, and greater risks.

For comparison purposes, I hold ownership units in a LLC that owns a retail/service center where there is a mortgage loan that initially represented 50% of value, now about 35%.  

The longer you are able to hold your property, the more time appreciation will have to do its magic.

I question if they get kick backs or actually hold ownership in this company.

New agents use that to ensure they can hold on to a client. 

As you look to scale, just make sure to hold/build reserves for when repairs come up and take your time screening tenants as you will find a vacant unit is much less stressful than dealing with a bad tenant.

using this form of financing is a great way to acquire/fix a property but if you are looking to hold long term you would want to find long term financing.