It is likely a tenant rollover risk issue.Throwing your example real quick in a financial model puts it at a debt yield of ~14% on NCF with a 1.74 debt service ratio based on a 75% LTV and a 5% interest rate on a 5 year fixed term with a 20 year amortization.

Rollover as Business Startup

Anyway, of course they make money- when you sign on and when you roll over from construction loan to permanent financing.

If you have a Single Member LLC owned 100% by your IRA only, you can continue to contribute to or rollover funds into your IRA from other retirement accounts, and then add capital to that LLC as often as you want.

.#2 - I assume one has to be very careful how much to roll over.

I'd let the lease roll over into a month to month agreement.

I am getting ready to roll over a sizable 401k into a self directed IRA to invest in real estate.

Well, you guessed it, 6 months or so down the line, when I had started accruing a huge rollover credit on my contract but did not need anymore names, I called my rep to ask about canceling the contract, and she said sure, but then the whole price of the contract would become due immediately.

Due to our income being over the AGI cutoff we are only able to apply these losses to the cash flow of the apartments we own, which could take a couple more years.However if we were to buy another building using a 1031 exchange, are these passive losses allowed to rollover to the new property?

Also since I have been taxed already from the first rollover, can I be taxed again setting up with a different company?