They leverage the cash/bonds/assets in their portfolios and acquire the loans in which people borrow.

This is true in real estate as much as it is in bonds, or dividend stocks. 

@Erika Bond A lot of property managers out there gain experience by working on their own properties or family property. 

In past projects, we have hired a GC but given my husband’s commercial construction & engineering background, this time we will General ourself.On this next project, we will be the landowner, investor, developer, and GC (yes wearing many hats).My question is regarding the level of insurance required: 1) For the GC license, the state (of Washington) requires General liability insurance and bonding.

Even if they lost it, for 1% of the loan amount they can post a "Lost Note" bond and go on with business as usual.

This is passive income that you get every month, like a CD or bond.

I think that with my next security deposit, I'm going to use it to buy a Series I US Savings bond for the amount of the deposit. 

I will be the guy on the ground.We have a strong bond and mutual trust for each other, so any vicarious behaviour is not an issue.

Or name a price where the deal makes sense for you.This might be a chance to strengthen/build your network rather than get financial gain. 

Don't even think you need to take an exam.. just apply, pay, get insured and bonded, etc.