Utilizing my mothers IRA to purchase Real Estate

[Henry Washington]

My mother has expressed interest in partnering with me on a multi-family purchase. She wants to utilize IRA funds to contribute to the deal. My question is, can she do this without having to pay taxes for pulling the money out of her IRA.

She has around $28K in the account.  Can she use all of it as a down payment on a property?  I would take out a loan to cover the remainder of the purchase.

[Brian Schmelzlen]

If it is a self-directed IRA, she can invest the money directly from the IRA into the deal. Be very, very careful about any prohibited transactions though as that will cause her too many problems. Talk to a self-directed IRA expert.