All Forum Posts by: Dawna Willis

Thank you Justin!

Thank you for your responses.  I have read and reread my solo 401K material, but wanted to get any second opinions/confirmations.  That helps a lot!

I would like to roll over funds from a 401K with a previous employer to a solo 401K with the intent to take a personal loan of 50% of the funds.   I would take the $20K and add it with personal cash from my husband to purchase a duplex from an older relative for $35K.   It appraises for $52K and is currently occupied with 2 long-term Section 8 tenants.  I would do the max loan repayment of 5 years, but intend on paying off in maybe 2.5 years if not sooner by using most of the rent payments towards the loan repayment.  Is there anything I need to consider that I may be missing if using a solo 401K loan?   No early repayment penalties, nor any restrictions on what to purchase with the loan money?   I know purchasing property from a relative is prohibited inside a retirement vehicle, but want to make sure it doesn't apply to the solo 401K loan as well.   

Thanks in advance for any insight.  

Has anyone used a SD ESA to purchase tax liens? If so did you create an LLC for the ESA or what company did you use to create your LLC? Looking for a reasonable price for getting the entity set up and operating agreement created for checkbook control.

Hi Dantuna,   I am a newbie as well but I took a course on tax liens and really wanted to purchase, but I sat back trying to research as much as I could.  In the meantime, my classmates jumped right in and purchased the tax liens and this September 28 out of 30 people were able to get the deeds to their properties.  They paid from $500 to $1600, most were single units, but a few were duplexes and multi-unit.   These properties are located in Gary, IN and you can purchase outright on your own or you can partner with the instructor of the course and he manages everything if you are out of state (or you just hire a property manager).  If you have ever considered getting your property through tax liens, I would take a look.  I went ahead and purchased two tax liens (online auction) and will there in person in March for their next auction when all properties start at $500.  The instructor of the course also provides mentorship if that is what you are more interested in as well.