Yes, you get your rent from the government like clockwork, after you wait 30-60 days for them to set up your account, but what about the tenant's portion of rent?

The more efficient solution might be to purchase from Grandma with the 25% down..you ca use the income to help qualify and obtain gift funds or other sources for the down payment.

Even if you think it is worth another $xxx -- if no one rents units in that neighborhood for that additional price, it is going to take you much longer to fill your vacancy so it could mean another 3 months empty with no income.

You know how many months you could afford to go without any income from a property. 

Do you get the value of it back if you sell or does it increase the potential rental income?

If you are buying it as an investment property, you are buying it at a much higher rate than a traditional owner-occupied loan so you must be in a primary residence now and are just planning a just-in-case scenario.At first, I thought this was a no-brainer answer as if you can do whatever you want, but those investment loans are banking on the income projected as part of the collateral for the loan so it's a good question.A seasoned lender or someone who has had to move back into one of their properties will get you the best answer.

Guardian is what the seller was using but now they don't take new accounts for duplexes. 

@Sheri AyoubAs long as the proceeds from the sale go back into the IRA LLC bank account there are no taxes. 

Out of the three, one is a high income community but the other two are just right next to it. 

If credit is healthy and the property performs from an income standpoint you may be able to go up to 85% on this transaction.