These are generally 12-24 month interest only loans that borrowers will generally pay back by selling or flipping to long term financing like DSCR loans.More on DSCR loans:DSCR loans won't use your income to underwrite the loan.DSCR loans are based off of down payment, credit score and either actual or market rents so it helps to supercharge an investor's real estate goals and net worth.Here's a bit more in detail about how rates are calculated for DSCR loans:1.

I am based in Houston TX.  

Remember the tenants were discussing amongst 10 people how to play that with you for months. 

Of course the proof is in the actual investments and numbers, but this assertion seems unlikely based on the value-add upside normal syndications can provide which DSTs can’t.

If you are looking for financing, I would make sure you can qualify based on long-term rent (one lease), and the property is not currently operated as a rent-by-the-room rental. 

But I’m SoCal based and have thought about investing in Temecula.

My plan is to buy and hold because I’m here to play the infinite game for me and my family.

It looks to be a true 50/50 split based on square footage, so eventually when you go to sell you will be taking 1/2 of the property and applying the federal tax exclusion under Section 121 and the other half will be treated as a capital asset subject to capital gains.

If you're interested, I'm more than willing to share more about how to navigate this path based on the successful experiences of other investors.

Based on the cursory reading of your post seems like we might be able to help your client.