Real Estate IRA problem with rental property

[Janice McBride]

This is a Real Estate IRA issue. I have a rental property in Florida that has become unlivable due to poor property management by a local firm. There is not enough cash in the IRA to complete needed repairs which are close to $15,000. Everything I have approached becomes a disqualified option and I cannot find a non recourse loan. I have tried to sell it "as is". I do not have another retirement account that qualifies for transfer. The ridiculous thing is that I have the cash to take care of the repairs but I am not allowed to use those funds or do the work personally. It seems my only options are to sell for half the FMV after repairs, deed myself into the property at 69% and pay taxes on that as a distribution. I know there is a better answer to this issue but I cannot find it. Any suggestions?

[Jon Allen]

How much cash do you have in the IRA? Have you made any other IRA contributions this year? You can make a $5,500 contribution for 2018 and in a few weeks you can make a $5,500 contribution to the IRA for 2019. That gets you kilos of the way there.