In fact, I'm the one more likely to take my business elsewhere so that I can get better rewards.

You are an inspiration to the few that's waiting patiently to reap the rewards of real estate investing no matter the amount of the first, second, third check and the many other checks to come.The fact of the matter is you learned what it took to get paid :roll: and you made it happen.

You'll learn along the way but since you aren't providing any capital you won't get as much of the reward (but still something).

But remember the lenders are into risk/reward also.

That said, I would not want a boarding house in most other areas of the City as the clientele would be different and risk/reward would not be worth the extra work.

The risk to reward ratio is low.

Everything is a risk versus reward and when the risk can be too great for minimal or average upside then ground up development does not make sense. 

You get more reward than he does.

Some investments are higher risk, and higher potential rewards.

any time you borrow against your personal house, you are risking. it's like getting a HELOC and going on vacation. just that this "vacation" has a potential of paying you back if you do it right.no risk = no reward