To Friend: Solve my problem I will solve yours; Is this fair?

[Steve P.]

I want to put 25% down on a new home costing $320,000. I need a mortgage at 75% LTV. Problem is I just set up in a 3 person LLC in which we purchased a home that is rented out and purchased property on which we built a large duplex and just rented it out last month for $1960/mo. on both sides.

Both properties are great producers but I have to wait two tax years for the income to count and now my cash is also tied up beyond the 25% down payment. So I can't qualify for a full mortgage.

I have a friend that has a problem rental and he lives 1500 mi. away from it. I offered to buy it with my SDIRA relieving him of his problem if he will combine his credit with mine so I can get a mortgage on the new house. If I were to use the IRA to help me buy the house I want to buy I will create a huge taxation problem for myself.

What additional security does he need? What is the downside for him? I know I am creating a large problem for myself as the home I would buy from him is an 8.5 hour drive from the new home. But I can't manage a home in a SDIRA anyway.

Am I getting the short end of the deal, is it an even deal, or is he getting the short end of the deal? What's an even deal?