Because successful businesses – the heartbeat of capitalism – have to offer way higher returns to compensate the entrepreneur for the massive amounts of risk they are taking.Personally, I love real estate and will continue to invest in it.

I understand that RESPA requires that that a licensed agent ONLY be compensated thru closing and the HUD.  

@Larry FlanaganMoreover, you cannot get compensated by the IRA for performing managerial functions.

@Antonio Aguilar I would ask someone outright what their business is, and how they are compensated.

No person engaged in real estate activity without a currently valid license shall have the right to receive any compensation for services so rendered.

I am ok offering a purchase price slightly higher to compensate for the estimated discount they can sell the note for.

It has been my experience that 2% deals are MORE risky than 1% deals ... that is why they are priced at 2%, to compensate the investor with potential cash flow for the extra risk they are taking on ... if they weren't as risky, then the market would likely drive the price on them up to 1% or less ... so the idea that you are being more conservative by investing in 2% rule properties instead of 1% rule properties seems fundamentally backwards to me.

If I were in her shoes, I would want compensation for obvious damage, but wouldn't necessarily think that requires the tenant paying for new everything.

., services you can provide as manager are limited, avoid reimbursing yourself for expenses and never pay yourself compensation), IRAs are subject to debt financed income tax if you borrow money (has to be non-recourse -- meaning you can't personally guarantee the debt) to purchase or renovate a property, and There are transactional costs to establish and maintain an LLC that you don't have if you purchase properties directly in your SDRA, to name a few key ones to consider. 

but with 10% apr money I am not really looking at any big compensation from helping them get deployed..