When we sold our home and moved back to California it SHATTERED sales records for our subdivision by an unbelievable amount.

I'm excited to have been referred to the BP community (and podcast which i've been listening to like an addict recently).

That was a really tough time to get a loan and they believed in me.Local banks and credit unions also know the area so they can adjust a bit from a larger macro brush used by bigger banks.Positives of local banks:- you develop a relationship so you can someone you know and talk through a deal before you even offer on it- less broad strokes on requirements- longer fixed terms 10 year fixed is not uncommon (think hedging future interest rate increase)- most have no prepay penalties (this is huge and give you many options) If you cash out refi after a BRRRR and then 1 to 2 years later a buyer shows up a your door with some unbelievable price, you can sell without prepay penalty calculations.

Unsubsidized families with very low income, Drug addicts, recovering drug addicts, very young renters, illegal aliens subject to deportation with no notice, etc... (???)

There must be a lot of money in the business because I am always amazed about how much money he spend on the motel and he tore down a separate house he lived in on the property and build a mansion.As for someone investing who has no experience, I think someone who invests in a hotel or motel should understand that it is a 24-hour business that requires 100% around-the-clock employees willing to work during every major holiday even during the worst weather conditions, storms, or through whatever crises and current events are happening.The business requires several different shifts of workers for the front desk, several shifts of room-cleaning workers since many hotels and motels have guests coming and going 24/7 and they want to re-rent rooms asap, constant room maintenance for plumbing, heating and cooling and the guests come in all shapes and sizes with all sorts of inherent problems when it comes to the things they do both on the property, in the rooms, on the bed linens and then add the dealing with drug addicts, potential prostitution, potential sex-trafficking, potential sexual abuse in general and abuse of a minor, damage to the property, out-of-control parties, lovers having fights on the property and in the rooms, damage and theft to the linens, damage to bedspreads, and damage to the flooring.Since I am a plumbing contractor, many motels and hotels call my company to remove drug addicts' heroin needles stuck in toilet bowls.Before making an investment into a hotel or motel an investor needs to take a serious long amount of time to look at the books to see whether or not business in the area is declining, but since the hotel and motel business is one of the greatest   cash businesses' in this country you can bet that many sellers will make you well-aware that the 'real' income cannot be verified.I did a lot of research for the past 20+ years, looked at more than 100 hotels and motels for sale and declined to purchase most of them due to the decline in sales in most areas they were located in.

Other investors in my area deal in riskier assets, they get unbelievable returns, but they are constantly dealing with property condition issues, nagging tenants, and they spend couple hours a day sometimes dealing with these issues.

@Slocomb Reed, you can search numerous threads or Dodd Frank regulation, but what you will find can be summarized as followsDodd Frank Act, and administrative rulings by the Consumer Financial Protection Agency, are unbelievably numerous, hard to interpret, subject to subjective judgements, have harsh and draculon penalties for even small or inadvertent infractions, and cases are being pursued by trail attorneys both as individual cases and as part off class action.So, a lender set up to do a huge volume of personal mortgage loans may find the risk acceptable, the enormous investment in compliance and personnel  and procedures a cost of doing business.Private lenders do not have the time, money, staff or risk tolerance to be in this market. 

Be specific I would use the $1M to open and promote a "Legal" Psychoactive clinic for Veteran PTSD, Drug addiction/Withdrawal Marriage/Divorce therapy on the Oregon Coast.

I'm currently buying 3 properties and own 1(1 is paid off in full that I have been pulling the equity out of) and I'm in the process of buying a 4th and then I will have to be done for awhile (dang this is SO addicting) I am inheriting $20K so far from my father's estate.

I “retired” for a minute at 30 in to 2018 and hope to get back to traveling full time soon but I’m kind of addicted to real estate now.