Advantages –” You’re in control”
•High fixed rate of return collateralized by real estate.
•Diversification to your wealth/retirement building plan.
•Can use your IRA, Roth 401k, Cash, Credit, or any other liquid funds that you control.
•You control the investment’s outcome.
•You determine your return.
•Almost a completely passive investment.
Disadvantages – “You’re in control”
•You do the due diligence and make the decisions.
•Worst case you get the house back free and clear with equity.
•Unknown circumstances – “Murphy Factor”!