You open a SDIRA, transfer your existing SEP account to a self-directed IRA (can become traditional IRA or stay as a SEP) then lend the agreed amount out of your account to your friend the builder.

I started looking around using the MLS, but know choosing the right area (and ignoring even certain streets in an area) is paramount to making a good decision and need to start working with people familiar with that area that can work with.While I do have money saved up, I am also wondering how feasible it is to get traditional lending and then going through a private lender to finance the rest or at least reduce the 20% down amount to not down the money into the house – oh, and so that it cash flows?

I don't look the best on paper for traditional lending.  

My names Christian and I'm new to BiggerPockets and real estate investing as a whole.

@Will Pritchett  You're having that problem with a traditional 30 year fixed?  

I'm assuming after seasoning for 6 months or a year, I can apply for traditional financing under my LLC and make the purchase. 1.

I guess the real bummer here is that this is a community bank that markets itself on serving marginal communities and helping non-traditional/first time buyers and they SUCK and are giving people bad info and bad outcomes.

Let's say a seller signs a listing contract with a traditional agent and that agent charges a 6% commission.

However, if you need traditional financing through a lender you will find that this property will not qualify for traditional financing since it has a second "livable" dwelling on the property.

In my limited experience with portfolio loans, lenders typically use mostly the same criteria that a bank would use for traditional financing, but will allow a borrower to go over 10 loans if their finances justify it.