Investing in real estate or real estate loans is a non liquid investment.  Getting money out of a real estate investment or a loan in a short period of time is extremely difficult.

An investor who needs liquidity would be much better off investing in mutual funds which can be liquidated easily, or money market funds which are instantly available for use.

We do originate loans for qualified investors who have a high net worth and adequate liquidity to meet their cash needs.

Extremely safe loans will generally yield well in excess of 6% to the investor.  Somewhat less safe loans (which are still fairly certain to be eventually repaid in full) will yield the investor something in the general range of 12%.

The real risk in real estate lending is that the loan will be repaid early, leaving the investor with a lot of cash to reinvest, usually when market opportunities for reinvestment are poor.

This repayment risk can to some extend be offset with negotiated prepayment penalties. Although borrowers are frequently resistant to agreeing to long term prepayment penalties some loans are written to assure that the entire long term interest expectations of the lender will be fully met.

Also while many real estate investments can be structured to generate capital gains, real estate loans generate interest which is taxed at ordinary income rates.

Real estate loans are ideal investment vehicles for pension and other tax free compounding vehicles.  Insurance companies find mortgages excellent investments for this reason.