The beautiful thing about real estate investing is there are several avenues you can choose from depending on your end game. 

Typical assumption is that security deposit would 100% go to cover property damages - that's the whole nature of the deposit IMO. 

There are clearly downsides - the investments are even less liquid than active real estate, they are completely out of your control and they are long term in nature.  

I would love to show you around our beautiful city. 

As others have pointed out, interest income from a partnership can be classified as either "portfolio income" or "ordinary business income," depending on factors such as the nature of the partnership’s activities, the number of loans, and whether the interest is incidental to your main business or a core activity.

I was under the impression that this call would be somewhat informative in nature rather than a call simply to schedule another call with one of "Scott's attorneys". 

If someone truly believe that the 17% is real and they could borrow money at a smaller interest rate, using the fungible nature of money, the person would take a loan to get into that deal, but a feel most people would not risk there primary residence on a deal like that. 

Purchase price: $220,000 Cash invested: $75,000 Sale price: $300,000 Beautiful 4Br 3 bath 2200sft Single family residence uplifted to its glory, and contemporary design and style.

I just bought my dream home, have a beautiful wife, and go out drinking 5 out of 7 days.

Naturally, that doesn't work for us!