Increase Small Investment Budget

[Tyler Lake]

I converted my IRA into a SDIRA checkbook account. I have about $67,000 to invest but haven't been able to get properties that I can get a non-recourse loan at the lending amount. All lenders I have found require 40% down with a percent in the bank for unexpected costs. That leaves me at finding properties around $120,000 range. Any suggestions on jumpstarting my investment career?

[Brian Eastman]

@Tyler Lake

If you have an IRA LLC and do not know who disqualified parties are, I'm concerned. This is probably one of the most critical things to know with such a plan, and something your provider should have been very up front with and included in any literature they sent you.

Disqualified parties include:

• You
• Your spouse if married
• Parents, grandparents, etc.
• Children, grandchildren, etc.
• The spouse of a descendant
• A fiduciary to your IRA
• A business partner or key employee of a business you control
• An entity such as a business or trust controlled by any of the above

So no, you may not personally joint venture with your IRA.