Buying commercial truck using self-directed IRA

[Grace Huang]

I have an opportunity to buy a commercial truck using my retirement account and then lease it out to an operator. I already have several people lined up who wish to lease it from me. I have general understanding of prohibited transaction rules and that I can not receive any personal benefits from investments of my IRA. I know that I can buy a rental property inside my 401k and rent it out. I want to get an opinion on my potential investment of a commercial vehicle. Do you see any issues with this, are there anything I need to be aware of, any potential pitfalls that I need to lookout for?