I made that mistake when buying in Dayton from California.Hi can you tell me what are  D areas I’m looking to invest in zip code 45405 it’s in Montgomery county also can you recommend some good zip code or county to invest in thanks   45405 and 45406 are indeed D class areas. 

If you tell me the zip code, expected rents per side, and whether you are using property management, I can help you tighten the assumptions without getting too aggressive.

Thanks for referring to the IRS Sect. of code in question.

Within SDIRAs, this may include trust deeds, mortgage notes, or private promissory notes.How it is commonly held in an SDIRA: The IRA is the lender of record Loan documents name the IRA (not the individual) Payments flow directly back into the IRA Custodian records payments and annual valuationsWhy SDIRA investors look at this asset type: Predictable payment schedules Defined interest rates and maturity dates Tangible collateral in certain structuresKey compliance considerations: Disqualified persons: The borrower cannot be the IRA owner or related parties Self-dealing risk: No personal guarantees, servicing, or side benefits Expense handling: All costs must be paid from IRA funds Documentation: Notes, deeds, and servicing records must align with IRA ownershipCommon misconceptions: “It’s passive, so compliance is simple” “Short-term loans don’t require strict documentation” “If it’s secured, it’s automatically compliant”Primary IRS references: Internal Revenue Code §4975 (prohibited transactions) IRS SDIRA guidance on disqualified persons and lending arrangements4) Compliance CornerFocus: Prohibited Transactions (Why They Still Matter in 2026)Plain-English rule:An SDIRA cannot engage in transactions that benefit the account holder or related parties outside the IRA.

Here I’ll deep dive the financials on my worst performing STR Location: 78203 Zip Code/Eastside San Antonio, Texas (Denver Heights)Type: Single Family HomeBuilt: 1938 (Fully remodeled in 2021)Beds: 5 (1 King and 2 Queens and 2 Twin)Bath: 2 FullSquare Feet: ~1600HOA: No2025 FinancialsRevenue: $35,826Mortgage(PITI): $29,204Cleaning Fees: $10,582Management Fees: $2,346Repairs: $1,669Supplies: $1,069Internet: $978.27Electricity: $3,128Water: $472Hotel Tax: $1,540Net Cash: –$15,162.27 (If we factor in principal paydown on the loan, this may be closer to -$10k)Occupancy rate is about 35%This home sucks.

Add a smart lock (like Schlage Encode or August) and you can manage guest access codes remotely without having to coordinate key drops.If you already paid off the ADT equipment, maybe ride it out until your contract ends — but if you’re on a month-to-month, switching will save you money and give you more control.

Document the change in writing now (as-is condition, scope of work, permits, and who paid), confirm it was done to code, and clarify ownership of the improvement.

Tax accountants do not reduce taxes illegally; they rely solely on deductions and strategies permitted under the Internal Revenue Code.

I have my agent on the ground there do a comps package for me for the zip code. 

We have to tackle local building, zoning, over-engineered codes, impact fees and permitting regulations.