Skip to content
Two investors reviewing resources on a laptop

Get industry-leading resources — for free

Unlock resources for every investing strategy and stage with a free account.

By continuing, you agree to BiggerPockets LLC's Terms of Use and Privacy Policy

×
Take Your Forum Experience
to the Next Level
Create a free account and join over 3 million investors sharing
their journeys and helping each other succeed.
Use your real name
By signing up, you indicate that you agree to the BiggerPockets Terms & Conditions.
Already a member?  Login here
Followed Discussions Followed Categories Followed People Followed Locations
Tax, SDIRAs & Cost Segregation
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

presented by

User Stats

389
Posts
251
Votes
Anna Watkins
  • Investor
  • Atlanta, GA
251
Votes |
389
Posts

SD Roth custodians for Private Money Lending?

Anna Watkins
  • Investor
  • Atlanta, GA
Posted

I have done my "due diligence" by reading about 15 threads on SDIRAs, and still have a few questions.

Does anyone use a custodian that specializes (or is especially effective with) private money lending (not buying existing notes)? I am fortunate to have a reasonably healthy stocks&bonds 403(b) (401k for non-profits) and am trying to build up some extra in a Roth IRA for diversification. Since I have rentals I actively manage already, I'd like to use a self-directed Roth for private money lending. (it has to be a Roth, given the existing 403(b))

From all the posts, I gather that different SDIRA custodians are better at different kinds of RE investments.  Folks who have responded to various threads --

1) Do you mix different RE investment types within one IRA? or

2) Do you have different ones for different purposes (flip, hold, buying existing notes)?  

3) Have you worked with private lenders who use IRAs for their lending?  

3) Any chance I could talk with one of them?  I'm strictly small money, but want to be wise small $$ :-)

4) Has anybody heard of using IRA money for RE crowdfunding? Seems a way to start on a very small scale, but perhaps sketchy rule-wise.

I'm tagging y'all guys below since you've been helpful in the threads I read earlier.

Thanks!

@Abhi Golhar - How's the GroundFloor project going?  I'm following with interest.

@Rick Baggenstoss     @Will Barnard    @J Scott

Most Popular Reply

User Stats

1,737
Posts
1,508
Votes
Jeff Rabinowitz
  • Investor/Landlord
  • Farmington Hills, MI
1,508
Votes |
1,737
Posts
Jeff Rabinowitz
  • Investor/Landlord
  • Farmington Hills, MI
Replied

Pay attention to the fee structure of the different Custodians. Some charge an annual fee based on your account balance. Some charge for the number of assets in the account. Some charge for each transaction. Some charge a combination of fees. If you plan on lending small amounts and to receive monthly payments you may want a custodian that charges an annual fee rather than a per transaction fee as every payment deposited into your account could result in a fee no matter how large the deposit is. 

Loading replies...