The toughest part of this is structuring the deal so everyone involved wins.

depends on how involved you want to be.

You also have enough to buy low balance 2nd mortgages however that is only worthwhile if you have good risk tolerance, since things can easily go wrong on a single note (risk is spread by buying multiple notes).My first note was 16k, and I lost a ton of money.Second was 4.6k and made tonsThird was 2.3k and made 22k-ish profit4th was 7k and earns about 25% returnSo with 20k you can get into notes, but you have more risks.

I have the heart to do it, and I'm all for the calculated risks, just a lot more to learn I guess.

But Ben comes in and underwrites this at $500,000 because he knows the $150,000 to get it to market only consists of $70,000 hard costs and the $80,000 is his reward for taking the risk and for his time.

Part of that involvement in RE includes me learning the business from the inside out while becoming a successful agent along the way.

I know that if you are the seller, and want to seller finance more than 3 properties a year to owner occupants, you need to involve an originator. 

What are the risks? 

What type of investing are you (or looking to be) involved in?

Tell her that she is emotionally involved in the property and the buyers are not.