To diversify I’d suggest looking at experienced hard money lenders to put you in first trust deeds. Many are with developers who are entitling land and need the money for a year or two. You can get 12-18% returns backed by first trust deeds. Look in the major newspapers of any urban area as well as the Wall Street Journal. You should look for LTV ratios under 70% and not put all the funds in one loan. These are NOT subprime lenders. Those guys were doing 100% loans to folks with horrible credit which was a stupid business practice. Hard money lending focuses almost entirely on the value of property so when a problem arises you can sell the property if needed. It’s not a liquid investment, but is a good vehicle for a 1-3 year period.
