The Mortgage Debt Forgiveness Act of 2007 was implemented to allow homeowners, under certain circumstances, to avoid the tax bill for this forgiven debt.

Yes much like a LLC but only the money invested in the S Corporation by its shareholders is at risk, barring extreme circumstances personal assets are usually protected, as they are with LLCs.

You've looked only at the income side and completely neglected the costs.

Ask yourself what are you going to do if your circumstances change or if at the end of five years the interest payment is higher than you were counting on (it will most likely will be).

So, neglecting the money costs, you're looking at a profit of 20% of $190K, assuming you can buy and rehab for $133K.

You're neglecting a bunch of other expenses, vacancy and capital.

If you screw up using someone else's, you should work your tookus off to get it paid back no matter the circumstances.

If the answer is no, you would want to know why and under what circumstances, if any, would they allow it.Finally, as a last resort, find another SDIRA owner with similar capital and borrow from them in exchange for them borrowing from your Father's IRA.

Lynn, in the standard contracts that I use in California it states that if a problem is caused because the tenant neglects to report it in a timely manner than it becomes the tenant's responsibility.

Just because people like Bohr, Einstein and Planck came along and found that Newton's theories break down under a lot of circumstances doesn't mean apples don't fall from trees.