All Forum Posts by: Greg Junge

Thanks @Bernard Reisz, @George Blower and @Dmitriy Fomichenko!

One last question for you all. If I have 75k in a roth SDIRA, I can invest that entire amount at any time right? It doesn't have to be seasoned any time period? I was told once that I can only invest what I contributed, and not what was made by the IRA.

So if I contributed 50k, and that 50k made 25k, I was told that I can only invest that initial 50k.  But that doesn't sound right to me... Any help would be appreciated!

@Dmitriy Fomichenko Hi Dmitriy, I've heard you on a few podcasts and seen you on here alot.  I just met with my cpa and mentioned the self directed ira, as I want to use it to invest in real estate products.

He was questioning the fact that once the money is in the SDIRA, and you write a check to say a flipper as a hard money loan for 50k, and that 50k turns into 55k in 6 months, are you able to put that whole amount back? He thinks that once you take that money out of the SDIRA, it's outside of the account, and therefore you wouldn't be able to just put that money back in. You'd only be able to put in $5500 because that's what's allowed as a contribution every year, and the 50k in this example would be outside the IRA.

Hopefully that makes sense and the point I'm trying to make is clear.  What's your take on this from a CPA's point of view?  I just want to make sure this is 100% legal from a cpa's point of view.

Thanks, 

Greg Junge

I purchased a buy and hold propery 5 years ago for cash in my name only. Last year I got married and put this property into a LLC with my wife, and in our trust.

I'm looking to 1031 this property now but wanted to know if I needed to wait a certain period of time to do this? I've heard some people say there's not a clear and cut rule about how long I have to own it before 1031'ing it again, and I've heard 2 years also.

My questions are:

1) Is there a seasoning period for owning a property before 1031'ing it, to not be labeled a dealer?

2) Independent from question 1, would changing it from my name to a LLC matter at all if I decided to 1031 it, one year after changing entity structure?

Thanks for your help, always appreciated!

Greg Junge

I just applied with Pedfed for a heloc on a rental, and everything was going great, until they said they can't do a heloc on a rental that is owned by a LLC. I thought I was home free, getting equity out of a rental, but then shut down. I can quit claim it to myself, but it's in a trust and what a pain to do all that.

Just a heads up on that if you are looking at pedfed and hold it in a LLC. If anyone knows a company that will give a heloc to a rental property in a LLC, please let me know. Sounds like a big ask, but who knows right?

What a great thread! I was thinking of doing this yesterday and so glad that I found this info.

One question I have, some what related but different. I have a heloc on a rental property with available funds of 50k. My primary house is just about paid down 20%, so I'm in the process of removing PMI and getting a heloc on my primary.

My question is, can't I write a check from my rental property heloc for 50k, to my primary mortgage, get my pmi removed, then get a heloc on my primary?  And that extra 50k that my primary just decreased by, will help me get a higher heloc on my primary.  

Is my logic right in doing this?

Thanks for the responses! @Dan Barli, honestly, I was just curious on how this process works, if and when I run into problems financing properties.  I've read that after 4 properties, it gets tougher to finance properties, so just wanted to know my options.

Hi BP,

I've heard of portfolio lenders and the value that they bring to an investor. My question is, can a portfolio lender combine/re-write loans for two different properties into one loan? If I had 2 single family houses that each have 100k mortgage on them, would a portfolio lender be able to consolidate and create one loan for 200k?

If so, is this beneificial to do or no?

Thanks,
Greg Junge

If you have a rental property in your solo 401k, how do you protect it? In other words, I assume you can't have a LLC inside your solo 401k, so how do you protect it against lawsuits. Couldn't one bad lawsuit wipe out your solo 401k, if there is no way to separate it.

Does anyone know about this?

@Don Ireland, I just listened to a podcast about this last night and the interest rate on the HELOQ doesn't really matter because the HELOQ is calculated as an average daily balance, you are paying less every month, and your balances go down quicker.  I'm in the process of starting this, but here's the podcast link...

http://www.passiverealestateinvesting.com/how-to-be-mortgage-free-in-five-to-seven-years/

I am wondering if anyone has ever used First Monument Funding Financial before?  I am in contact with someone from their bank and want to check here first before doing anything.

On that same note, I'm looking to connect with 2 private money lenders just to network and see how that side of the business goes, and possibly use for a deal that I have going now,and for future deals.  Any recommendations would be helpful.