BiggerPockets

There are only a few lenders who will do this. We have a local bank here, 1st Bank, but they're only in a few states around here. Once upon a time I found one company that was nationwide. Based somewhere in MO, IIRC, but I can't recall the name. Google for "IRA loans" and I think you'll find it.

These loans must be fully non-recourse. No personal guarantees or anything. Last I checked, max LTVs were 65%. When I spoke to the guy at 1st Bank, he said you would need to hold it a year to do a cash out refi based on a new value, but they could do one immediately based on the purchase price.

Darryl,
I know a couple of contacts that might be able to give more ideas on the non-recourse financing if you are still looking, you can PM me. You might also need to know that there is a special tax return due on these deals with debt. I recently did my first return like this. The other things to be aware of is watching the cash flow as more IRA money would be needed if there was a cash shortage. You should also pay down the mortgage at least a year before sale to minimize any potential taxes. It is a little strange, so I am just informing you.
Sheldon

Thanks for all the replies. Jon actually pointed me towards North American Savings Bank, and you are correct Brian, the LTV is 65%.
Too bad the borrower found the lender right after I did! You win some, you loose some.

Great point Will. I will be sure to bring this matter up. Even though I am no longer involved in the loan, looking out for a client's best interest has a way of generating referrals.
NASB was willing to overlook the seasoning issue since the property is owned free and clear and the owner had done some capital improvements on it. Given what the loan amount was, we could have used the PNS as a bases for the loan amount.
Thanks again for all the great input!