Andy Pugisi is correct, you should make sure the subs have liability and WC certificates and list you on their policies…proof in writing, and have a good liability and WC comp policy of your own according to state law, dept of labor.

In addition, you don't incur any penalties when you rollover from a 401k into a SD account as long as it is done correctly.

If I read the OP correctly, the original 5K gets returned when 5 deals are completed.

If so, your calculations above are correct.

If during the interview the applicant said they make $50k per year, the origination team verifies that number against the collected paystub and tax forms and corrects the number to be mathematically correct to the supporting documents.

The sooner you start, the sooner you get paid.Hope this helps - let me know if you have additional questions.Ned, please correct me if I'm wrong.Thanks.

As Dion said, be very costly and send you to jail using other's money.Guys (Dave and Dion) your institutional trading is correct and all well and good, but didn't seem at all that the OP was headed this way but taken in this direction.

My first 8-10 deals I intend to spend A LOT of time reviewing possible property's to ensure that I'm doing everything correct and so I can begin to grow the best reputation possible with my investors.

You are correct that anything over 4 units is generally considered a commercial property which will shift you to the commercial lending side.

So, I'm trying to interpret his perspective - is he right that I would do better to sit on my hands and do very little investing in the next 400-500 days, or give it away, or am I correct that if I can find the right buyer, I could get some down and a good note, perhaps collateralized, and the risk would simply be that he burns my trees on the way out if I have to foreclose.