Meaning if the borrower stops making their payments the investor can lose all of their investment.

1 Checking and 1 savings account is all you need.

The problem is, all the ones I've seen, you have to keep your collateral funded or they start selling off your stake in order to keep it at a certain percent, so you have to keep an eye on it.

All the above?  

You are adding costs and complications for no benefit at all.

I guess there has also been talk of moving some government entities out of Washington, like the FBI.How does all that factor into your analysis?   

By law, all IRA funds must be held by a custodian.

.: @Chris Core - you will not find cash flow in Huntsville right now unless you want a C/D neighborhood property (not all of those work right now either) or you want to put over 30% percent down on a purchase to "force" cash flow. 

However if I do a BRRRR I can achieve infinite return by extracting all of my investment.

The cashflow should cove ALL of the expenses for the primary (mortgage, taxes, insurance, utilities, etc) AND put money in their pocket.