SDIRA Deal with 20% ROI in Indianapolis

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SDIRA Deal with 20% ROI in Indianapolis

Chase Cannon
Attorney · Danville, PA · Member since 2017 · 26 posts · 16 votes

Investment Info:

Single-family residence buy & hold investment.

Purchase price: $127,000
Cash invested: $55,000

Single-family 3BR 2BA. A suburb of Indianapolis. SDIRA deal. 50% done on a non-recourse loan. ROI is 20% annually. Set rate at 5% for the first 5 years. Plan to sell or refinance at the end of the term.

What made you interested in investing in this type of deal?

Using my SDIRA to increase my retirement portfolio

How did you find this deal and how did you negotiate it?

Rent to Retirement. Simple negotiation.

How did you finance this deal?

Nonrecourse loan for 50% down.

What was the outcome?

Holding for now.

1Reply
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Most Popular Reply

Zach LemasterBusiness Member
Rental Property Investor · Denver, CO · Member since 2015 · 1k+ posts · 3k+ votes
4y

@Chase Cannon

Thanks for sharing your experience! I love the idea of using your SDIRA to invest in REI to take control of your investment options within a retirement vehicle. We look forward to working with you on many future properties as you scale your portfolio. Well done Sir!

[email protected]800-311-6781Podcast Guest on Show How to Get 10%+ Off Your Next Real Estate Deal Right Now
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  • Zach LemasterBusiness Member
    Rental Property Investor · Denver, CO · Member since 2015 · 1k+ posts · 3k+ votes
    4y

    @Chase Cannon

    Thanks for sharing your experience! I love the idea of using your SDIRA to invest in REI to take control of your investment options within a retirement vehicle. We look forward to working with you on many future properties as you scale your portfolio. Well done Sir!

    [email protected]800-311-6781Podcast Guest on Show How to Get 10%+ Off Your Next Real Estate Deal Right Now
    Rent To Retirement5334 Reviews
    WebsiteView Page
    7Reply
  • Michael Ullman
    Rental Property Investor · San Francisco, CA · Member since 2020 · 8 posts · 1 vote
    4y

    Nice deal Chase! Thanks for sharing. How did you fund your SDIRA? Was it a rollover?

    0Reply
  • Regina Sloan
    Investor · Indianapolis, IN · Member since 2021 · 81 posts · 24 votes
    4y

    @Chase Cannon Thanks for sharing this information! I have about 75K that will soon be in SDIRA, who did you work with in Indy? I'd love to connect to learn more about how this will help us.

    Will look up Nonrecourse loans, new term for me.
    and your set "rate,"
    you decided on this? 

    1Reply
  • Chase Cannon
    OP
    Attorney · Danville, PA · Member since 2017 · 26 posts · 16 votes
    4y
    Originally posted by @Michael Ullman:

    Nice deal Chase! Thanks for sharing. How did you fund your SDIRA? Was it a rollover?

    @Michael Ullman I funded my SDIRA through a rollover from several different accounts (traditional IRA, TSP, and 401K)

    1Reply
  • Chase Cannon
    OP
    Attorney · Danville, PA · Member since 2017 · 26 posts · 16 votes
    4y
    Originally posted by @Regina Sloan:

    @Chase Cannon Thanks for sharing this information! I have about 75K that will soon be in SDIRA, who did you work with in Indy? I'd love to connect to learn more about how this will help us.

    Will look up Nonrecourse loans, new term for me.
    and your set "rate,"
    you decided on this? 

    @Regina Sloan I worked with IronClad Group in Indianapolis. They are great, and they have a connection with Pillario Management Company, which manages all my properties in Indianapolis. A nonrecourse loan is the only traditional finance way to lend against your SDIRA. There are only a few institutions in the country that offer non-recourse loans. They provided three different set rates over different time periods. I picked the 5 year set rate. So far, everything is on autopilot. I have contributions to my IRA each month based on the cash flow.

    0Reply
  • Regina Sloan
    Investor · Indianapolis, IN · Member since 2021 · 81 posts · 24 votes
    4y

    @Chase Cannon thanks for that breakdown! I plan to reach out to them and will mention you. Is this better than working with a local REI that need funds for their projects?

    0Reply
  • Regina Sloan
    Investor · Indianapolis, IN · Member since 2021 · 81 posts · 24 votes
    4y

    @Chase Cannonoh upon looking them up, they are a local construction group!

    0Reply
  • Michael Ullman
    Rental Property Investor · San Francisco, CA · Member since 2020 · 8 posts · 1 vote
    4y

    @Chase Cannon

    Thanks Chase. May I ask which SDIRA custodian you chose to work with? Currently considering a few options so I’d love to hear what your experience has been so far!

    0Reply
  • Chase Cannon
    OP
    Attorney · Danville, PA · Member since 2017 · 26 posts · 16 votes
    4y
    Originally posted by @Regina Sloan:

    @Chase Cannon thanks for that breakdown! I plan to reach out to them and will mention you. Is this better than working with a local REI that need funds for their projects?

    Both have their benefits and drawbacks. And IronClad has multiple ventures. 

    0Reply
  • Chase Cannon
    OP
    Attorney · Danville, PA · Member since 2017 · 26 posts · 16 votes
    4y
    Originally posted by @Michael Ullman:

    @Chase Cannon

    Thanks Chase. May I ask which SDIRA custodian you chose to work with? Currently considering a few options so I’d love to hear what your experience has been so far!

    I use IRA Financial Trust. This is my third custodian and by far the most responsive and client-oriented. They do live Youtube videos regularly that are very nice to watch during lunch breaks, etc.

    0Reply
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