You are investing a lot of money and don't want to end up with a lemon.

We currently do not have much money in saving due to recently rehabbing both of our houses.

I'm considering asking if they would loan based on the appraised value if we used our own money for down payment.

I have some money saved for investing but not much.

Howdy,New to RE Investing: I am curious to know how much can one earn if one refers a money lender to a full-time house filpper.

Maybe they never spent the money or it's not up to code to have a person living in the space.

Scenario 2 - 9.5% Yield (Multiple notes) vs Stock at 6%:For this scenario we are going to use the same numbers as above the only difference we are going to be buying a new note with all of the money we get after ever year.Year 0 - 12k to buy the note Year 1 - We have 3024.24 (252.02 * 12) Year 1 - We buy a second note 3024.24 at 9.5% for 4 years -- 48 payments of $75.98.Year 2 - 3024.24 (1st note) + 911.76 (75.98 * 12 -- 2nd note)Year 2 - We buy a third note 3936 at 9.5% for 3 years -- 36 payments of $126.08.Year 3 - 3024.24 (1st note) + 911.76 ( 2nd note) + 1512.96 (126.08 * 12 -- 3rd note)Year 3 - We buy a fourth note 5,448.96 at 9.5% for 2 years -- 24 payments of $250.19.Year 4 - 3024.24 (1st note) + 911.76 ( 2nd note) + 1512.96 (3rd note) + 3002.28 (250.19 * 12 -- 4th note)Year 4 - We buy a fifth note and final 8,451,24 at 9.5% for 1 year -- 12 payments of $741.03.Year 5 - 3024.24 (1st note) + 911.76 ( 2nd note) + 1512.96 (3rd note) + 3002.28 (4th note) + 8,892.36 (741.03 * 12 -- 5th note).Total: $17,343.6 While this second scenario does outperform the 6% stock market return, it only give you a 7.64% annualized return while is better, if we implement scenario 2 in a self directed IRA where lets assume they charge you $150 every time you buy a new asset that would technically be $750 less of profit giving you a profit of $16,593.6 and a 6.7% annualized return.

If I'm in your shoes I would checkout any local RE meetups happening nearby, that would be a great spot to meet some other folks in your shoes and/or other lenders who might be able to give their perspective if it makes sense to pull out money from your home rn or not. 

I use to offer either 60 or 70% of the money.

I hold the realtor license, find the land, hold the GC license, push all the paperwork through and acquire the money for the jobs.