I don't like to reward stupid.

The biggest reason you've receive push back on the idea is the fact that it violates most of the basic rules of profitable business: easy to understand, easy to implement, low barrier to entry, low risk to reward, replicable experiences, etc.

when I see these deals and people are being offered 10 to 12% interest on these 2nd positions that's when the risk does not equal the reward when you can buy 10% interest first positions that have little to no risk.

LOL So from my stand point, passive investing is when you spend the minimum amount of time and gain the maximum reward for such.

A complex of such size can certainly be rewarding but do not think it will be a passive cash cow without much effort and if your not experienced make sure you get serious second opinions on your deal.

I think you are starting on a path that will be very rewarding. 

That's very exciting, and believe me, it can be very rewarding if you know what you're doing.

We also use a rent collection portal that contributes to reporting on the tenants credit to reward them for on time payment.Definitely agree with others here- would be nice to donate the extra furniture to a good cause (or sell.)All the best in your new adventure and congrats of acquiring insurance!

All the best on this journey - may it be successful and rewarding for you!

Considering risk vs reward most people will start with option 4 and maybe option 3 at some point later.