The reason you have to obtain this special type of financing is because the tax code provisions (IRC 4975) do not allow you to personally guarantee debt that your IRA or Solo 401k takes on. 2) It was referenced above UBIT, which is a special tax on the portion of the after expenses and depreciation, that is attributed to the debt financed percentage of the property.

I'm new to this, so forgive my ignorance, but it seems to me like a "bird dog" is just a wholesaler who's being taken advantage of.

Eliminate debt, establish a budget, and save.

Expanding into the US residential market can be a rewarding opportunity, especially with your focus on cash flow and capital appreciation.Given your interest in properties that yield positive cash flow while also offering capital appreciation potential, I'd like to introduce you to a financing option specifically designed for foreign investors like yourself: Debt Service Coverage Ratio (DSCR) loans.

.### Renting the Property- With a projected rent of $1450, you need to calculate the Debt Service Coverage Ratio (DSCR) to ensure it's viable

Our debt include only our primary, the duplex, and credit card $3,175.91+$7,317.49+$2,000=$12,493.

A debt fund solves the passive investing issue, but brings on other risks as well. 

I will be making around $110,000 annually and have $20,000 in student loan debt. 

You treated them as part of your personal finances when you wanted to lay your hands on some money BUT want to think of resulting debt as part of the business and are frustrated that the rents aren't covering that debt.

I have had this goal of buying my first duplex and have talked to real estate investors, realtors, lenders, appraisers and have been encouraged so much to where I am anxious to dive into this.Now that I am 18 I have absolutely no debt, a credit score of 727, I have 28k sitting in a certificate of deposit, a couple years of working consistently under my belt, I’ve also been investing in my Roth IRA, I feel very blessed to be in this situation.I am still in high school, I know it wouldn’t be smart to buy a house right now but something in me is so anxious to buy this house I know I have to have patience but I don’t know if I should start the process of getting pre approved, finding a good investor friendly realtor, lender, preparing my documents or if I should just wait.When analyzing deals in my market I have crystal clear real estate deal criteria my strategy is house hacking a duplex, price range of 500,000-600,00 in Salt lake, Utah!