Self directed IRA for first rental house purchase

[William Harmon]

I'm considering using my IRA as self directed to buy my first rental property and I have several questions. I have roughly 25K in a traditional IRA to invest. I'm looking at a turnkey property.

1. If I use the IRA to fund down payment for the purchase how much or what percent should I leave in reserves for the unexpected?  I assume I need more than a normal investor in reserve due to needing separation of my personal finance and the IRA.

2. The basic understanding I have is for a self directed IRA or checkbook IRA a custodian company forms a LLC and you get a check book. Then you set up a trust which owns the property? Anyone have experience doing this? if so how did it go?

3.To set up the trust I'm assuming I use a lawyer? Should I consult with a CPA as well before starting the process?