Taxes, Rental Property, Self Directed IRA Hold back financing

[Eric Schrader]

Good Morning All!!

I hope everybody has a wonderful Memorial Day Weekend.  

OK . A peer of mine has a rental property in his self-directed IRA. He want to sell it / I would like to buy it. His IRA will hold the note. Apparently the title will remain in the custodial IRA's name.

How would this affect my ability to take advantage of all the good tax benefits of rental property?  

Since the title is still in the IRA's name, would i be subject to any of the liability if the tenant falls and breaks their arm, etc?

Should i try to get the title changed to the IRA and my LLC?

thanks

Eric