My humble advice to anyone attempting to do creative finance is:Creative finance is for experienced investors who have access to capital if anything goes wrong.Learn the lawsDon't use a contract "off the internet", laws vary by state and are also regulated on a federal levelLearn the financing techniques correctlyDon’t skip parts of the processDon’t ever do a “kitchen table” closingUse the proper deedAn attorney can help you with the legal work, but the rest you are on your ownYour guru will not bail you out“Investing” in someone else’s deal by providing a small 2nd loan so the “investor” can pay for “cash to the seller” and for “closing costs” so he can do the deal is a very bad planKnow what problems can ariseLearn the responses and solutions to problems before they are neededKnow everything there is to know about Title and what that meansKnow who a "protected class" individual isLearn the "back doors"Learn human natureUnderstand timelinesUnderstand regulation enforcement (some of these "mistakes" have a 10 year statue of limitations ( they can charge you 10 years AFTER you do the transaction) and carry hefty fines and possible imprisonmentThe court doesn't accept "I didn't know" for an answer"Know that the source of the lead plays a serious role in some states and federallyKnow how much of a "profit" pushes the boundaries to invite an investigationYou can be sued by the seller if you don’t do things correctlyYou are automatically at fault if an investigator or attorney or regulator gets involved.

Clear roles, clear compensation, and honest disclosures protect everyone involved, especially investors.Until we stop inflating résumés with deceptive titles, these problems will continue to repeat themselves.

This typically involves assigning business entities (e.g.

Sometimes a quick second set of eyes helps uncover an option that didn’t show up at first.— Christian

A penalty tax is assessed equal to 15 percent of the amount involved in the prohibited transaction.

One being 5498 related, which I have since posed to my custodian (Digital Trust-fromerly Kingdom Trust) and the other involves the investment and what some sdira rules might stipulate. 

Lastly, I never thought about the idea that I probably already know people who want to get into real estate but don’t have the time so that really opened my eyes.

With no rehab costs or holding period involved, the financial structure stayed simple and supported a smooth same-day close.How did you add value to the deal?

Keep an eye out for it in March, and feel free to shoot any questions my way!

Plan for 15 to 25 percent of the electrical budget to be discovered work.Biggest early mistake I made was not getting a structural engineer involved before closing.