The monthly payments towards the loan are personally guaranteed and not dependent on the performance of the property. Even if the investment property loses money, payments will still be made to the lender using additional dependable income streams separate from the real estate market, including W-2 income, cash flow from Jordan's web development and hosting business, and other investment assets.

No. You as the lender are a silent partner, and while you are an instrumental and valued member of my team, Jordan takes on the majority of the risk by personally guaranteeing the loan and is solely responsible for making decisions related to the investment property.

No. As the loan provider you are a debt partner to any real estate investments made with the capital. While this limits the upside of the investment, it also protects you from the downside and makes for a much more stable and reliable investment.

With the stock market, inflation, supply chain, and geopolitical events being highly volatile, it can be very risky to park large sums of capital in most assets -- and none of those have a guarantee on their return. By acting as a loan provider, you are getting an extremely stable, reliable, and guaranteed investment where you can put your money to work for you without having to worry about what is happening in the global markets.

All private lenders are added as additional insured on the property's insurance policy, and are given a lien against the property as a protection against their loan investment. In the case of a catastrophe, the lender will be protected and paid out.

Apart from the additional streams of income I have coming in from my service in the military, web development business, and my extremely low debt-to-income ratio, the strategy that is being employed for my real estate investing is long term buy-and-hold. There is a housing shortage and even if the properties resale value drops, my strategy is purely based on rental income. People always need somewhere to live, recession or not.

Additionally, I use very conservative numbers when putting together my deals, including accounting for vacancies, capital expenditures, maintenance, and property management so that I am already anticipating and prepared for the worst case scenario.

The three main reasons I am using private lenders vs a conventional mortgage is:

1. I am able to make cash offers on properties that are much more attractive to potential sellers
2. The speed at which I can close a deal using private money is much faster than through a bank
3. Flexibility to structure deals creatively, allowing me to scale