Can I accept the prepaid 1 year rent?

If I can get a refi with the same deal that lowers my payment to somewhere in the neighborhood of 1300, (and not much more than the origination fee + prepaids for closing) then I'd consider renting it out as an option.

Whether investors are pooled or you only need one investor is not a talking point of Reg D.Thanks Dion.And I read the exact question to a Prepaid/Legal Shield attorney before posting the question here, and the attorney said yes that would be an okay way to structure it.

Since most of these lenders are using TARP, I just tell them you already owe them money and it will be an accounting nightmare to keep track of the debit and credits.

You could even write the check from your personal checkbook, credit contributed capital and debit the expense in each LLC if you like.In your example, as long as you've got the required support (billing), nobody's going to care how that expense gets allocated through the LLC's come tax time.While, I too, can proudly declare I'm not a Lawyer, or a CPA, I do work in large companies, and have done cash accounting and inter-company accounting with boatloads of legal entities in multiple countries, holding companies and the like.

See my other post today for more history on this property, but my offer was accepted with 4k credit from seller towards closing and pre-paids.

Original cash purchase price plus all financing fees (closing costs and prepaid items).I'll be interested to hear how this goes for you.

I have been trying to do it "right" and use accrual, but thinking I may be making things harder than they need to be.Even with just a handful of properties, things are quickly spinning out of control with journal entries for accruing property taxes monthly (paid at the end of the year) and insurance (usually pre-paid and then expensed out monthly, but each property seems to be a little bit different).

Essentially this model puts an LLC between your SD IRA and the investments, the major benefit of this is what you see advertised as "Checkbook Control" which is a simple way of saying you control the LLC which invests in assets, so you have a checkbook possibly debit card, and whatever other products your bank account comes with.

. * Prepaid Expenses ** Property Tax Escrow ** ... * Property ** Accumulated Depreciation ** Purchase Price ** Building Improvements ** ...123 Main St - Liabilities * Current Liabilties ** ... * Long Term Liabilities ** 1st Mortgage *...123 Main St. - Income * Rental Income * Coin-op * ...123 Main St. - Expenses * Operating Expenses ** Repairs ** Cleaning ** ... * Non-operating expenses ** Interest ** ...You get the idea.