They have an arrangement with a firm that will manage the loans to maturity if Lending Club were to shut down.

No, anyone calling themselves a business consltant and trying to arrange real estate financing is probably some shister

Do you show it vacant or staged( rental or own furniture)?

That is, where is the money going, who is the grantor on the loans (if any), how are the SEC filings arranged, what is the operating agreement and private placement memorandum.

Other than that the living arrangement was good as I was practically living for free, having others pay my mortgage, as well as putting a few hundred bucks in my pocket every month.

Saying the owner would allow 50k to a homeowner shows personal attachment, meaning they may not be motivated in reality.They are in no position to dictate who buys, that limits your ability to operate, so you need to work on them as to a sence or urgency.Get rid of the muchers if they are there.After the loan is brought current you can look to a wrap arrangement, a lease/option would allow control, a sub-2 put someone in to make repairs.

But, if you like living on the edge, load up on debt where you limit your ability to borrow and see how it is making a living off buying properties with short term seller fiancing arrangements....good luck!

Here's just one rub, the federal SAFE Act mentions "any financing arrangement" and further, that is any state law does not cover the intent of the federal law, the federal law prevails.A CFD is a financing arrangement.An option, if more than 10% of the purcahse price can also be seen as a financing arrangement.A lease provides a leashold interest not an ownership interest to property.

The theory of crowd funding as I understand it is a 1,000 people throwing in thier coffee money, it has to be managed, originating the loans, serviced and disbursed to investors, that is not free and I doubt it's a long term arrangement or will be cheap money.

While I am only in the preliminary stages of my RE Investing career, I want to begin my focus on which market to start heavily researching.