If someone wants to benefit from lending, that institution or individual should:- be able to bring enough capital to the table as a first position lienholder- be capable of understanding (and mitigating) the risks of the investment, like an accredited investor So why should the burden be on the (theoretically) successful developer?

@Bryan Kunka, a couple areas that I like which you didn't list are University district, which are mostly higher end flips, min $100k+, with the exception of a few blocks near 6 mile and Livernois, Bagley (NW corner of 6mile and Livernois), buy around $20-$25, ARV ~50k, and are selling. 

I actually got to talk to a seasoned investor and he said the deal seemed good, but there was probably a catch.After doing some research I discovered that University has recently changed their housing to make it required students live on campus for four years.

Then you have to manage the property for an entire month in return for that management fee and this is almost universally billed in advance. 

Many students are shown on TV as spell bees and high school grads mostly attend four year universities.

Hi @Dan Tsunekawa, if you're an accredited investors who is seeking to defer your capital gains tax but doesn’t want to be a landlord anymore you might consider reinvestment into DSTs (Delaware Statutory Trusts).

Matthew Marchetti if he is an accredited investor looking for passive income, there are a number of sites and funds via which he can invest in notes or syndications.

I'm thinking of getting into both house flipping and rentals part time when I leave university/when I have enough time off during university (such as during the summer possibly).

This adds value and you probably know that Bridgeport has higher values in general than Clarksburg and Morgantown has some of the highest values in the state because of the hospitals and University.

Also, with the  University and College...