@Beau JensenIf your self-employment activity is legitimate, you could setup a Solo 401k instead of having to go the IRA route.

@Axel MeierhoeferThank you for your thoughtful response and an alternative to consider.I concede that insurance of that type may have some value but I'm reasonably certain (though I don't know every home warranty policy that's available) that most, if not all, do not cover every expensive mistake a builder can make (whether intentionally or unintentionally), I don't know what their fine print says and I don't know how honorable the companies are when a legitimate claim is handed to them. 

The qualifying income that I believe any lender will use will be whatever shows up on your tax return, which is one incentive to earn all your income legitimately rather than constantly accepting cash/under-the-table gigs (like I did, for years). 

We rarely have an issue and when we do they are legitimate - working nights, sick kid, pet on premises.

FHA will allow you to move out on an owner occupied under a year if it is a legitimate reason (such as work relocation).

TCPA is a easier venue, statutory damages, dont have to prove harm.I'd argue you're selling services, but YMMV.

To restate, a GOOD wholesaler is an educated individual, who legitimately has the investors' back, because at the end of the day, the investor is taking all the risk, so the deal HAS to make sense for him/her first and foremost.

If you are purchasing legitimate deals then it doesn't really matter. 

My concern was the borrower might have unpaid contractor bills that could result in a legitimate claim being filed after I took the property.

Yes this is a legitimate strategy but it can also be risky depending on how you answer the questions above and more.