Lending money from a SDIRA to help another investor buy a MH

[Sandy Uhlmann]

I have SDIRA funds that I would like to invest by lending some money to a manager at one of the parks that I own a mobile home in so he could invest in the purchase a mobile home. We have an excellent working relationship and I would like to create a scenario where I can assist him to become a real estate investor (by funding him) as well as helping grow my IRA. He is able to fix almost any part of a mobile home so I feel very comfortable investing with him as the home would be the collateral.

 I could do a straight interest only with payback in X number of years, I could create an amortized note payable over a longer amount of time.  I know that there are probably a number of other creative plans that could benefit the both of us.   Does anyone have any good suggestions on how to create a mutually beneficial investment plan?  

Thanks in advance for the input!

Sandy

[John Arendsen]

My first concern would be your collateral. What is the home? Is it a pre HUD (built before June 15, 1976)? Is the park/community a rent/lease or a resident owned? If it's either or both that's a non starter as you really don't have any collateral except the faith you're investing in the manager. I'd be very prudent about how you invest in your IRA. That's a very precious piece of collateral and it could go away in a flash if your not very prudent.