All Forum Posts by: John Smith

I don't have specific recommendations for providers, but once you find one that lets you invest in real estate and related transactions, it is important to use an LLC to hold real estate. That will compartmentalize the liability stemming from that property and protect your retirement funds and other assets. It is important to use funds from the retirement plan to pay for the setup of that LLC to avoid prohibited transactions.

Note: This information is for educational and informational purposes only and does not constitute legal, tax, financial, or investment advice. No attorney-client, fiduciary, or professional relationship is established through this communication.

Thanks Philip. If I am forming an LLC to be the lending entity, and the members of the LLC will be my Solo 401k Trust and a SMLCC I already own (since I do not have enough funds in my 401k alone to fund the loan), are you saying using personal funds to setup the new LLC and associated loan docs must be paid by the 401k?

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Any recommendations for companies to use for SD401k?

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I am looking to make my first real estate hard money loan. I have solo 401k and solo roth 401k accounts at Schwab. I understand under the Schwab plans I can not invest in real estate.

What are some recommened providers to roll over to so I can do self-directed?

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A partner and I will be doing our first lending deal. A 12 month loan to finance a property redevelopment. We will be creating an LLC and hiring a real estate attorney to prepare all the necessary loan documents. Who typically pays the legal fees for all that? Us, the lender? Or the borrower? If the borrower, how is that typically handled in the documents?

Apologies for the elementary question. Thanks so much.

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All Forum Posts by: John Smith

John Smith has started 2 posts and replied 4 times.

Post: Self-Directed Solo 401k

Post: Ever Wonder How Self-Directed IRAs Can Transform Your Real Estate Game—For FREE?

Post: Self-Directed Solo 401k

Post: First Lending Deal - Who Pays Legal Fees?