I have a unique situation (I didnt realize it could be a situation until today) (disclaimer for any responders) - I'm asking this question with the understanding anyone that responds is not providing legal advice and they will be held harmless, seek my own professional advice etc)Sept 30 2016 I had a check issued from my present 401k administrator (the company that administers the plan where I work) and made it payable to a Self Directed IRA account I set up ("John Smith" Company Rollover IRA FBO Shane H)Time goes by I did not deposit the check into the SDIRA I had set up and just never followed through with the deposit.  

IRA's on self directing. 

How does this work when using a solo 401k or self-directed IRA?  

I have a 6 month living expenses emergency fund I built up this year I am not touching and an IRA with peanuts in it (few thousand) but beyond that I am on track to have an additional 20k by year end IF my wife doesn't get her full time (which she has an interview for this Monday) and if she does we will have around 40k saved by year end with the ability to save even more the following year.

I think @Ira E. has done some subject to stuff.

I can rollover the funds into an IRA.  

The down payment and rehab costs came from a friends self- directed IRA.

For example, if you are buying using self-directed IRA often private financing is used. 

My real estate IRA (PENSCO TRUST) owns seven properties between Sacramento & Redding CA.  

I have some opportunities for people looking to invest using self-directed IRA.