Last year I barely made any money after all expenses were paid.

Growing up in a household with 6 siblings and parents working hard to survive living in California I became very observant of what others were doing to make money.

If you enter the market with the right approach, there is alot of money to be made.

Tax Benefits Once Built- Deduct depreciation and cost of maintaining the property - Deduct mortgage interest if a loan is taken outWhile I am not an accountant, I do not see where it would save you much, if any money at all.

However, I keep feeling that we are missing an opportunity to make money off of this house because of the location it is in.

I suspect that this lady may be involved in the scam and then takes a cut of any money wired to the supposed lender. 

I was wondering if hard money lenders or private lenders require you to be licensed as a mortgage loan Officer to find them new clients.

If you want your money back faster look for a refi.

I have also considered investing outside of California, but frankly, I keep finding really good deals here and so my money stays in-state. 

My guess would be that as this GP is doing 1031 as a TIC into the deal he would be a little less likely to want a sale, which is a taxable capital event, and would like to keep his money invested and sheltered from taxation as long as possible which tends to fit with my investing style of long term/preferably forever investing.