my guess is once you added in the points and fees and construction management cost for your 203k loan you could probably borrow private money for a very similar APR that's just one thing to think about you would have less restrictions working with private funding then you would working with a 203k loan good luck

I can write pages about how to do this better, one day I will.The NumbersPurchase with closing costs: $178,0612 points to lender (Private Money total borrowed $225,000): $45003 months holding cost and 10% interest (utilities/taxes/interest): $1850Rehab Costs: $46,391Selling Costs (5% commission, escrow, etc): $17,394Sales Price: $289,900NET PROFIT: $36,470The moral of the story, is build your teams with the best people you can find at the level you are at. 

I'll be putting 20-25% down and borrowing about $60k on a non-owner occupied, out of state, REI. 

When you are suing someone, you have the list the harm done to you so, if the lender is suing to foreclose (Assuming it's a judicial foreclosure) they have to list the amount the borrower is due for, that is causing the foreclosure.

Won't you be immediately borrowing money (again)?

But the case where you are buying, rehabbing and selling within your IRA would in most cases not be applicable for UBIT, here is food for thought or arguments:(1) Your IRA is not you, and your IRA is for your benefit, and is managed by a directed trustee or custodian for your benefit(2) Any investment in your IRA will be deemed as Passive Activity, since you cannot materially participate in the investment from your IRA (else it is a prohibited transaction)(3) Your IRA does not file any self employment income taxes(4) Your IRA may file UBIT based on UDFI (assuming the IRA has borrowed funds for acquisition or rehabilitation)Now if your IRA invested in an pass-through which did the flips as you describe, the entity itself first must satisfy the requirement of a "real estate operating company" to receive any exemption, else if it does not it could generate a UBIT for your IRA as an "operating company".As others have mentioned, please work with a knowledgeable professional in this space for your specific situation.

When fixing things up I often struggle with buying it vs borrowing the tool from home depot.

Before you borrow someones money or equity think about the hours days and years that person traded to earn those dollars.

Even if the LLC is technically buying the house, they'll have to sign personally for the mortgage and from what I understand banks try to limit co-borrowers to 2 or so.Does anyone have any experience setting up such a group?  

It offers protection, and some of our loan products don't even check credit if the borrower is an entity.