Ask your self what deals made sense that you witnessed.

@John HyattThe answer is no.The principle of a self directed IRA or 401k is no different than any other retirement plan, just because it can be invested differently.  

Welcome Conrad to Bp connect with other investors ask pros question on forums read ultimate beginners guide it will help you and go to local Rei meetings you never know who you can connect with to help you on your journey.I'm learning so much I'm educating my self with Rei books and you will get where you want to be.Good luck David c

, “I can self-manage and save money!”

so total HOA fee + water/sewer = $ 19,200Management:  in my conversations with the broker, the current owner self manages.  

Collect the monthly payments (season it for 6 months), sell partials, repurchase the loan after the partials expiration date from your self-directed IRA for $100.

That IS a defense to the filing

Half we self manage, half are managed by a property manager to try out that process.  

In the event you sell, all of the accumulated passive losses will get written off in order to lower your overall tax scenario.If you use the same tax preparer (or the better self prep software packages), those passive losses should get "saved" every year and then will be available to use when applicable.

Whereas, West coast real estate over time pays its self off, is very liquid, and it appreciates over time with regularity.