Here's our friend investopedia, almost textbook line-for-line describing the terms you are being offered by your brother: > 'Risk Premium"> The return in excess of the risk-free rate of return [this is the money in your brother's checking/savings account] that an investment [lending you money is an investment] is expected to yield.

The quality of the income stream is determined by the risk associated with that income stream and thus the yield is a true reflection of the market's appetite to risk.

I just think 4 Batts thick could be pretty pricey/excessive.

So although you've already received fantastic advise, I'll share my thoughts just as another data point.I have been looking at a number of properties to start getting into flipping approach a long time friend (20+ years) who I knew had excess funds.

Richin-sur-ance (in' shOo rəns), 1. n. a widespread legal form of gambling where the 'house' may raise antes in response to excessive pay outs and/or utilize several forms of double-speak and legal-eze to welch on the 'bet' altogether.

But, the bulk of the excessive expenses were in the maintenance.

But the gift tax will apply if you give a gift in excess of the unified credit (and a small annual allowance).For non-resident-aliens, the situation is a little different.

With sufficient control over picking the right visitors, and still being able to break Eben- without excessive fees...?

For him, this would take the form of converting the currency into crypto (Bitcoins and such) and holding them in that form while they appreciate in value, then returning the tenants' deposits upon their departure and keeping the excess value for himself. 

See this excerpt from our rental criteria:FINANCIAL/CREDIT HISTORY1.No outstanding debt to previous rental property owners.2.No outstanding debt to utility companies.3.No outstanding debt in excess of $1000 that is not in a payment plan.4.No excessive monthly financial obligations - more than 20% of income.5.Lack of credit history or marginal credit history may result in additional security deposit. 6.Derogatory credit (past due accounts, collections, charge off accounts, tax liens, judgements in excess of $1000 and/or bankruptcy) may result in additional security deposit or denial.