All Forum Posts by: Loren Becker

I want to thank everyone for their posts.  

With all the great feedback, along with the tax consultant and lawyer we will negotiate a different plan.

Thank you.

For the learning lesson here's the tax man concerns...

"Wow – that’s not good from a tax perspective

The income – and deposit – would all be taxed in the year of receipt

There’s no tax break, no averaging, no postponing, it’s all just regular income"

Wow Team

great advise 

I just sent an email to my tax consultant 

Thanks for you help

Hello,

I know this is probably a good problem to have, but we have a vacancy in a high end property in Hermosa Beach.  The rents is $8700 per month, our recent prospect tenant is asking to pay a full 12 months up front.  

We would be receiving a check over $100k along with the deposit.  Great news!

My question is the tax implications.  that extra revenue in 2016 would impact us in our taxes 

any suggestions?

Thank you,

Hi Jon,
Thanks for the words of advice.
I already showed the funds as part of the pre-approval process. The bank is OK with using the IRA money for down payment they did make mention of the potential tax penalties. I have other private lenders that will fund me to return to monies to the IRA.
I would have to season the money from the private lender prior to the transaction which would be costly.
Thanks again,
Loren

Hi Ashlie,
I understand you did an 100 % outright purchase without a conventional loan using self directed IRA.
I am looking to use the money as a down payment to get into a conventional 30 year fixed loan. IRS states you have 60 days to transfer money without it being a distribution.

Hi Matthew,
I think you answered a few of your own question in the post. Be honest at REIA's and ask a lot of questions.
Connecting the dots is difficult, you need to get involved and experience a few different types of transactions. The spark your looking for will appear out action.
Good Luck,
Loren

I have a opportunity to purchase a SFH investment in my neighborhood. I want to use my self directed IRA to fund the down payment and close the deal with a conventional 30 year fixed loan. The catch is funding the deal getting the loan then returning the money back to the IRA account prior to the 60 day transfer period.
Anyone thought of this or use this technique?
Thank you,
Loren

Really appreciate the reply. As of this morning no information yet. I think I will give it until noon then call my normal agent.
Thank you again,
Loren

great one Tim.
Keep me posted.