Sounds like they make money in some other ways like origination fees or taking equity from short sales but I doubt that happens often. 

In NY, renters pay the realtor fee so it's a no loss for the landlord.

.- No lockup period- Monthly distributions with no fees- 14 years in the business- Over 2,000 loans originated- Stringent lending process with solid approval guidelines- Promises an 8% hands free return- Combines private cash and IRA investors into a pool for loans- Funds are used by real estate investors to buy and rehab distressed properties which are insured and liens have appropriate title insuranceThey have 300+ inventors, closed 2,000+ loans, $550m+, and 0 loser since 2008 when they opened.

  - Expect to spend more in fees. 

They charge $2,500.00 upfront fee once the initial loan agreement has been signed by the borrower.

Only pay late fee when I ask her to. 

Expect BIG attorney fees for this "protection".

It makes things go much smoother and inevitably leads to cheaper CPA fees because the bookkeeper has done a lot of the legwork. 

The contractor takes that money and buys some materials and holds some money to pay his labor for a few weeks and then he can work off the draws from there and then at the end of the project you get your 20% back minus draw fees.   

Things to look out for----Ask a lender what your potential interest rate is going to be and what lender fees are associated with this rate (underwriting fees, points whether they be origination or discount).