Let me lead with: we have had it with Equity Trust!! We've got about 12 rentals in our IRA and do 4-6 buys per year and of course deposit all those expenses and rent checks every month.
We will move to a different custodian as soon as we find a custodian that can close a purchase efficiently and fast and allows us to use their website to scan rent checks like most banks these days.
We've had deposit errors on the July rent deposits and we are now realizing that we need to scan the rent checks, scan the deposit slips etc etc creating a mountain of work each month to back up the what if scenario of the original check gets lost in the mail or they don't key the deposit correctly on their side as has happened this month.
Our #1 need of a new custodian is:
- scan checks to deposit via their website. NOT scan the check and attach to an email. That's work. Their website must have a plug in that directly connects to the scanner and I don't have to fool with scan to file, attach to email etc. You pick the wrong file etc etc and no savings over a 100% paper process.
Other needs are:
- A website that is moving to paperless transactions.
- Closing a purchase is smooth. Equity trust has hired a new batch of low functioning closing folks and they don't know what can be done and worse they get stubborn re what was just accomplished last month.
Would online ACH deposits work as opposed to check scans? Tenants could input their accounting/routing information and no cost to either party. No more checks.
Loren. I use direct dosit services for our non-Ira rentals. An Ira has a problem with dirct reo's it unless the sd-Ira custodian is supporting this feature. You can't run rent checks through your bank account then write a check to the Ira. That would look like you adding funds to the Ira and not just depositing rent checks. Rent checks are to the Ira custodian FBO the owner Ira
Your tenants should be able to do direct ACH to your custodian, without involving your own personal bank account or writing any checks at all. Many of our SD IRA clients' tenants use this method.
great to hear Doreen!!
I'd like to hear from other pensco clients re how smoothly your ad-Ira facilitates realestate closings ??
Hey guys I would really love to learn more about your tenants paying rent through an automated system.
Has this made your collection of rents easier?
What about late payments or the ole "I sent it but I don't know what happen".
Finally, any suggestions on who I should go with to start my SD IRA?
Any help would be appreciated.
As I'm sure you're aware, I cannot provide you with any client names, but hopefully there are some on this forum who may feel compelled to let you know their experiences.
General turn-around time for a real estate closing, with a fully funded account with available cash and all investment documents and authorizations in good order, is 5 - 7 business days from receipt of docs.
You must be a BiggerPockets member to post on the forums
Join the world's largest, most open Real Estate Investing Community online, 100% free forever!