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Updated over 6 years ago,
Splitting a property with your Solo 401k
So I know there are pretty strict rules in place to keep your personal dealings and 401k dealings separated. I ran into a deal that seemed to make sense for me and for my Solo 401k. There's a 3 story building for sale. The first floor consists of 2 restaurants and the second and third floor is basically a 5 plex of apartments. If I had the seller split these into 2 properties (the Restaurants and the Apartments) I could buy one set with my cash & financing and the other set with the Solo 401k.
So owner splits his property into 2 properties, sells one to my Solo 401k and one to me. There's no interrelationship with the two except that one property sat on top of another.
If a seller owned 6 SF properties and sold 2 to my 401k and 4 to me, that would be perfectly fine. Isn't this somewhat the same?