Self directed IRA, UBIT & Subject-to financing on properties

[Maureen Jacobson]

I have an opportunity to buy a property where the sellers are willing to keep their bank loan in place. I'm thinking of buying it with my self-directed IRA. Has anyone does this before? I have done many transactions in my IRA, but nothing with a loan on the property. I'm unfamiliar with how UBIT comes into play in this specific situation and if their would be a problem because the loan is in neither my name ot the IRA'a. Any help would be appreciated.