Account Closed rolling over your $75,000 in your 401(k) plan into a Self-Directed IRA would allow you to avoid the "dummy tax" and let you use the funds to purchase real estate.

Input any address into Trulia and it will display a "Crime Map" which may display the info you seek or you may get it straight from the CSPD here: http://communitycrimemap.com/. 

I was trying with one lender who said they can do the cash out at the beginning, but then after reviewing my 2016 tax return, which claim a loss on a K-1, they said they can not due to the debt to income ratio would not qualify (comes to negative..).

I have one investment property that has a good bit of equity in it about 70 K.

K

Leave 5 k for closing costs. 6.

I can borrow a very small amount from my 401(k) at 2.25% interest for a down payment or purchase, but given how hot my local market has been that won't get me very far until I can learn some alternative strategies.  

Tax wise, an LLC is pass through (at least today) so your details will be on a K-1 distributed by the LLC.

Thanks for all the great input.Yes, a solo 401(k) would solve my issue.

@Mark SpritzI would agree that based on the information you have provided, the Solo 401(k) might not be the right path.