Typically, anything in the middle range has a reduced risk and more favorable terms. 

Typically interest only for a couple years, rate a little higher but i/o payment lower.

Typically there are about 20 units listed for rent at any given time on the MLS over the last 5 years or so.

Many will do subject to and realize in many instances the borrower on the other end typically does not qualify for traditional financing, so you are taking on that risk. 

Starting next month when my renter moves in i will have only utilities and taxes as overhead at my new home in michigan. 

@Pandu Chimata, As a private lender myself, typically what happens is the title company has an in house lawyer, where you can get a mortgage and note prepared for free.

But even with that, I can typically get land sold in under a year.

Are utilities included? 

In these real estate deals you are dealing with 10s of thousands of dollars and when things go wrong on a thin budget is when you see dumpster fires and hear the cautionary tales.Most new investors concentrate solely on the down payment when in reality there's lots of costs: Closing costs, Holding Costs, Utilities Cost, you'll have to lay out money to the contractor for them to start the project, and there's taxes and insurance there's transfer tax title costs.More capital than you think is needed. 

I typically do 4-10 specs per year.