They don’t usually foreclose like mezz— they take over control rights if things go sideways.Ideal for:Ground-up or heavy value-add where cash flow is lumpyDeals where senior lenders cap leverageSponsors who need flexibility on timing of returnsThe real deciding factor: cash-flow timing vs. controlIf you can make regular payments but don’t want to dilute ownership → MezzanineIf you can’t guarantee near-term cash flow but need capital to close the gap → Preferred EquityIf your senior lender forbids mezzanine (which happens often) → Preferred Equity is the workaroundOne more nuance most posts miss:Preferred equity comes in two flavors:Soft Pref – economic preference, no takeover rightsHard Pref – essentially mezzanine equity with control triggersUnderstanding which version you have matters just as much as the return.Both tools are powerful, if you pick the wrong one for the wrong project, it can wreck your risk profile.

Happy holidays to all,
I’m renovating at bathroom and plan to put in a standing shower (no tub) but do not want to install a glass door or a glass partition. The Object is to keep it as maintenance free a possible. I...

Interested in seeing trends here.
Do you feel more comfortable with SFR notes? Small multis? Land?
What’s been most reliable in your experience?

Seeing more investors using DSCR loans lately, so I wanted to share a quick summary of why they’ve become so popular:
Benefits:

No income or employment verification

Approval is based on rental income

C...

Some investors love heavy rehabs for higher margins, others prefer quicker, lighter flips.What’s been your strategy lately — and how do you decide which projects to take on?

I have used both setups across different projects, and what I found is that the better choice usually comes down to how much time you can actually give to the job.A GC costs more, but a good one keeps the work moving, solves problems before you even hear about them and saves you from juggling people all day.

I’m building a buy-and-hold portfolio using the BRRRR strategy, and I’ve chosen Memphis as my first target market because of its strong rent-to-price ratios and abundance of fix-and-hold opportunities.I’m starting with about $90K in capital for my first project, and my buy box is primarily:Single-family homes (3/1 or 3/2 preferred)Purchase + rehab all-in under ~$80K–$90KPost-rehab rents in the $1,100+ rangeStable, rent-friendly neighborhoodsFor Year 1, my main focus is:Lining up investor-friendly agents who understand what cash-flow buyers are looking forGetting to know property managers who can help me rent quickly and keep tenants long-termConnecting with wholesalers who have off-market deals in my buy boxI’d also be open to talking with other Memphis investors about your experience in the market — what’s working well, what to watch out for.If you’re local to Memphis and open to connecting, I’d love to hear from you!

Appreciation is influenced primarily by rent, NOI, and investor demand—not the preferences of owner-occupants.4.

If the software you’re considering won’t give you that choice, I’d think twice.

Travelers prefer these locations because they’re quieter and easy to get around.3.