Anyone have experience Refinancing a property owned by an SDIRA?

[Phil P.]

With my SDIRA being in an LLC, my options are limited (ie most conventional loans do not lend to an LLC). What are your experiences? What's the workaround? TIA

[Brian Eastman]

@Phil P.

Any debt instrument for your IRA (via LLC or otherwise) must be non-recourse per IRS rules. There are only a handful of lenders that do such non-recourse loans for IRA owned properties, with First Western Federal Savings and North American Savings Bank being at the forefront.

If one of these banks will not lend or at least not on terms that suit your needs, you would need to seek out a private party to act as lender. Your IRA may not borrow from a disqualified person to the IRA.

Any cash derived from a refinance would belong to the IRA LLC, not to you personally.