By your own admission you don’t have the balance sheet to buy real estate or borrow and haven’t taken any projects full cycle.

I had  my borrower sign the promissory note and mortgage and then I went to the county recorder to record the mortgage.

Hindsight is 20/20 of course but this is advise borrowers to go the conventional route (assuming they can qualify of course) because it is a cheaper loan then FHA with the MIP for life. https://www.bankrate.com/mortgages/remove-fha-mortgage-insur... 

We work with many STR borrowers, and the returns can be great if managed well.

Borrowers and lenders both! 

Unfortunately, the younger generations are being told they can have everything they want right now by borrowing money from someone else while quitting their job, driving expensive cars, and drinking $8 coffees and DoorDashing dinner every night.

Then there's the $56,000 down payment from the borrower, thus signifying a pretty decent cash to close amount. 

Hello fellow investors I’m not sure if this is the right idea or not. so I’m hoping I can borrow from your experience/knowledge.

If the borrower just needs 50% LTV this seems pretty simple to get done, are they looking for bridge or perm financing?

We won’t make a loan unless we know the borrower will earn a fair profit.The math works regardless of location or strategy, @Drago Stanimirovic.