Self Directed IRA LLC

10 Replies

Curious about the choice to either purchase an entire property with a SD IRA LLC or to partner in smaller percentages as I continue to scale. Anyone have experience in this realm? Thanks in advance.

I love buying properties in my ROTH SDIRA because I will never pay tax on gains or income from the new property.

@Lance Marshall I love buying properties in my SDIRA LLC because I will never pay tax on capital gains and my tenants will pay the tax on any distributions I take in the future.

Personally I prefer syndications for my SDIRA. It allows me to be fully passive and benefit from leverage, but my SDIRA does not have to take on debt itself or qualify for a loan. Be sure to be aware of the prohibited transaction and disqualified individual laws that surround self directed retirement accounts.

Originally posted by @John Underwood :

I love buying properties in my ROTH SDIRA because I will never pay tax on gains or income from the new property.

Great info. I am 1031 Exchanging and don't have quite the full amount. Debating whether to use a partial from my SDIRA LLC. I know I will have to keep expenses and rents split out for the entirety of the ownership if I do so. Curious if anyone else has done this or just bought one property at a time....

 

Great info. I am 1031 Exchanging and don't have quite the full amount. Debating whether to use a partial from my SDIRA LLC. I know I will have to keep expenses and rents split out for the entirety of the ownership if I do so. Curious if anyone else has done this or just bought one property at a time....

Originally posted by @Lance Marshall :

Great info. I am 1031 Exchanging and don't have quite the full amount. Debating whether to use a partial from my SDIRA LLC. I know I will have to keep expenses and rents split out for the entirety of the ownership if I do so. Curious if anyone else has done this or just bought one property at a time....

Lance, if you are doing a 1031 exchange on a personal property - you can't have your SDIRA LLC involved in this transaction. Your IRA can buy an investment property but it must be an "arms length" transaction.

Originally posted by @Dmitriy Fomichenko :
Originally posted by @Lance Marshall:

Great info. I am 1031 Exchanging and don't have quite the full amount. Debating whether to use a partial from my SDIRA LLC. I know I will have to keep expenses and rents split out for the entirety of the ownership if I do so. Curious if anyone else has done this or just bought one property at a time....

Lance, if you are doing a 1031 exchange on a personal property - you can't have your SDIRA LLC involved in this transaction. Your IRA can buy an investment property but it must be an "arms length" transaction.

This is with my LLC plus SD IRA LLC. Still not okay?

 Thanks

@Dmitriy Fomichenko