Biggerpockets has a ton of free accountability groups which will keep you on track for your first investment and also teach you along the way! 

What methods do other private money lenders use to pass along servicing fees to the investors involved?

Raising money is all about marketing and sales (not real estate specific) so either hire marketing agency and read sales books, or hop on some LinkedIn courses on marketing and sales.Not sure the legal structure to use: talk to accountants and attorneys.Need deal flow: talk to brokers and go to a lot of networking events.Lending terms: start calling banks and loan brokers.From there, it is all risk mitigation. 

So the one's on the sidelines that did not get involved, and or are not coming from a position of strength--- now no longer can invest. 

You cannot cherry pick a lender its not that easy you have to be more involved as a Banker or Loan officer.If you are not a lender my first thought was how welll versed are your point of contacts to assist a borrower unless its done through your software.

While you are figuring it out and/or deploying it over time, US Treasuries and certain CDs are paying 5%...and 4% for certain online savings accounts.

That’s like depositing $300 into a savings account every month.Plus, it’s an investment property, so you can depreciate it to save on taxes.More Than $1,500This isn’t just about making $1,500 in rent—it’s about building long-term wealth.

We plan to stay in this house for more than 5 years unless another great opportunity arises, but maybe it is best to allocate a bigger portion of savings to our real estate investment savings account than our home improvement savings account for the first few years.

Most likely your conclusion is correct, but the only way to confirm it is by having a real estate accountant review your tax situation.Also, please read this introduction if you want to better understand the concept:https://www.biggerpockets.com/forums/51/topics/1075919-five-...

It's just not a subclass I want to be involved in, but perhaps you can make it work for you!