Helps with your debt to income, better opportunities at cash flow, and typically requires less down to purchase.In regards to challenges, I usually build in an extra 10-15% to deal with things that I can't see behind the walls, including dry rot, electrical or plumbing issues, etc.

The way to get access is typically reaching out to the sponsor and getting the PPM and the documents you need to do a thorough review.

These loans are short-term as you mentioned, typically 12 months, so you'll need to refinance before that balloon comes due.

The IRS generally does not allow you to deduct expenses for a property that has not been placed into service, as deductions typically apply to operational properties actively being used to produce income.

So there will be a long lag between when you invest and when distributions start. 6-12 months typically. 

The common feedback I hear typically revolves around your accounting preference. 

No reason to spend $1000-$1200 on a typical 1031 QIMathew 

Up front fees (outside of appraisal fees) are typically a red flag when dealing with a HML.

<Jealous!

You typically need to be in the $400-450k range to see those rents.