SDIRA Rental Property Security Deposits

[Dawn Hall]

I have an SDIRA LLC with a business checking account and am about to purchase a rental property.

Do I keep the Security Deposits in the SDIRA checking account or do they need to be kept separately?

I'm considering marketing it as a lease/purchase. If I do that instead of leasing it, what about the $$ that would go toward the renters down payment? Would that be held in my SDIRA LLC checking account or do I put that and the downpayment in another account (i.e. escrow account)?

[Will Barnard]

I concur, Yes and Yes.
Other option is to use a property manager (which you should be doing anyways to keep you free and clear from any prohibited transactions) and then they keep the seperate account for your IRA's security deposits on the rentals.