Wholesaling without intent to close the property is unlicensed activity in our state and subject to regulation by the Division of Real Estate...it's referred to as "for a fee, for another"...that said, there seems to be zero regulation as apparent by rampant wholesaling in direct violation of the law.

Of course, the commission is indirectly coming from you.

You can't directly or indirectly benefit from the funds - so you can't mix your IRA funds with your regular money, you can't pay yourself out of your IRA, you can't pay your relatives, and so on.

@jonathan brenYou and your friend should both sit down with an attorney and both agree on a structure that benefits both of you.It seems like the current structure you have in mind doesn't protect him and he doesn't have title directly or indirectly to the property.I agree with @Eamonn McElroy's suggestion.

I am not used to crowdfunding where there is a layer of indirection. 

Here is a quick rundown for you on those people however if you want to review yourself: Disqualified persons are individuals or entities between whom or which an IRA is prohibited (absent a special exception) from engaging in any direct or indirect sale or exchange or leasing of any property; lending of money or other extension of credit; furnishing goods, services or facilities; or transferring to or permitting the use of IRA income or assets.

Any wise words to set my thoughts in direction?

I would avoid acquiring the property adjacent to your IRA owned property personally.IRS rules stipulate that there may be no direct or indirect benefit between a plan and a disqualified person. 

I know there isn't a direct line from SFR appreciation rates and MF but there's an indirect one I'm trying to pin down.

@Scott Wolf you can't mix SDIRA funds with your personal funds, and you cannot directly or indirectly benefit from the SDIRA.