All Forum Posts by: Mark Burlison

Exciting today is contract signing day! Negotiations are over! Bank approval in place. That wasn’t a piece of cake...had to go to a second bank. But the president of the bank called me with the approval. Made me feel good that she would call. Going to close in early January for tax purposes. After discussing with my accountant we decided to pay the taxes upfront from my 401k.  SDIRA is bit complicated and restrictive ...someday may want to sell my house and live in one. NOW there’s a identical property next door that needs a little work!! Checking it out! 

yes the closing costs include paying 1 point. Purchase price is 260k, 25 per cent down. 

I’ve got accepted terms on my first 4 flat after several counter offers....negotiating the closing details. There are two properties adjacent to each other, hoping to purchase them both. Bank has given me the green light on the first one. 30 year mortgage with closing costs of around 13,000....or I can get a 3/1 arm with closing costs at 2500. I do look to hold for 10-15 years before unloading. Cheaper closing cost with arm? Or fixed rate with higher closing costs? 

Thank you Brian! Paying cash through a SDIRA for one property will give me a steady income stream in retirement. The rules are so strict .... I really would rather finance the other and be able to depreciate and write off the improvements I need to make. Also someday I may desire to live in one unit and purchase a second home in Florida! Retirement has jumped on me and I’m now scrambling a bit. But I like that my plan is going to include some rentals! I do believe over the long haul the properties will appreciate! 

Advantages of financing vs sdira purchase. I have two identical 4 flats next to each other. One in excellent shape... I was thinking of making a cash purchase through a SDIRA. The second needs a little work, was thinking of financing with a 25 per cent down payment. Any input is appreciated....still trying to get a sit down with my accountant to analyze it. 

Thanks Joe! Pulling the plug at 60(this year) and have decided for some of the same reasons as you, to pursue rentals! Really feeling it! 

Got a lump sum OR monthly annuity option at retirement....to me a no brainer! Rather use the power of the lump to sustain a income stream that is giftable to my children. BUT, the stock market is a scary ride even with a conservative portfolio. I’m liking the idea of OWNING a asset that produce’s income, I.e. multi family. Any other retirees take this route recently? How was the results? I watched Brandon Turner podcast and shooting for a 12 per cent return also looks very inviting! 

Thank you all for the input. I’m virtually a complete novice to real estate investing and looking to pick up my first piece. Even tho I’m over 591/2, taking the funds directly out of my (ATT) 401 K incurs to many tax liabilities. I now can see this definitely has to be purchased through the sdira to offset the tax’s. I’m just going to withdraw enough for the down payment... which now I understand I have to have a non-course loan....which blows my plan of going to my favorite bank! Not sure if this type of loan will be harder to get or require more down payment. Also trying to sift through all the fees charged by a administrator for a sdira. It’s all pretty daunting....trying to get all the info. But I’ll continue to plow forward.

Have a down payment for my first property in a 401k. My accountant mentioned self directed ira llc's. He really didn't know much...but had heard of them. Trying to sort through the info...I am over 59 1/2. Asked a company today that sets these up and they said I could use one for my down payment, then finance my purchase. So how would that work with my down payment ONLY coming from a self directed IRA LLC. Am I still restricted by all the rules of a self directed IRA????? Some even question the legality of this maneuver with the IRS. Thanks for any input.