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Updated over 1 year ago,
Partnering with a solo401k
I've been watching a number of videos on using retirement funds to invest in real estate. I have read just about everywhere that when you do that, you, personally, are not allowed to benefit from these transactions or have any involvement other than administrative.
However, after watching this video from Anderson Business Advisors about partnering with your solo401k, I am really confused how it is not a prohibited transaction.
Does anyone have any experience here and can explain why this isn't a violation of the rules? Also if someone has done this and used leverage, how did you find a bank that was willing to do a nonrecourse loan?