I believe it to be a little Southern California hidden treasure for cashflow, mainly class C but if you know what you are doing its a really good option to invest locally in CA with decent returns.

Looks reasonable to me.

Quote from @Jessie Matlock:One of my main questions is, I've been told I'll receive a K1 statement and that my monthly returns will be tax free. 1) Is it true they will be tax free? 

Yes, the fees seem reasonable.

Is there a demand clause where they can call the loans for no reason?

As I have noted in another thread, the number of individuals who post on BP about the Huntsville market that have zero experience investing or managing properties here has accelerated recently for unclear reasons. 

I don't see any reason why this wouldn't be an acceptable solution.

We haven’t really felt the effects of it yet but I think that is mainly due to the timeframe it takes for them to process claims and emotions from the devastation.

While not my main area of practice I represented a Brooklyn credit union lender, some buyers/sellers and a few landlords in real estate transactions and rent arrears cases.While we had successes and some failures along the way I ultimately concluded that I wanted to do something different with my life and cashed out of the business.

Now, your post also stated Dayton, Ohio - any reason why you want to invest elsewhere?