@Omar Khan From the way @Christopher Phillips described it, I think the objection regarding "quiet" is a lender's legal department being overly - and I think unreasonably - cautious.As to describing neighborhoods, I might say "look at the condition of the surrounding homes". 

What kind of tenants are they from the legal perspective?

A degree is always good to rely on as long as you don't take on a huge amount of debt to receive the diploma. you can work on both at the same time.

That's mortgage fraud.If they don't have equity to tap and don't have the cash to lock in a new home first, they'll have to sell their old home first and the buy something.Lenders look at debt to income ratios (DTI), if the some total of the old mortgage and the new mortgage goes over a certain %, which is based on the type of loan they're looking for, they can't get the loan.

Do not rely on it for legal advice.

Putting the tax implications on the back burner...What is the legal exposure here? 

My first property will be debt free within 3 years of buying it.

@George Ozoude,Here is a list of self-directed IRA companies that BP has put together:https://www.biggerpockets.com/rei/self-directed-ir...Also, the topic of self-directed IRA is a frequent discussion on "Tax, Legal Issues, Contracts, Self-Directed IRA" forum category, the link to it is below, you may want to search there for related discussions (there are some good ones), the results may keep you busy reading for hours:https://www.biggerpockets.com/forums/51-tax-legal-...Hope this helps!

@Chris ConnollyIf you plan to utilize debt financing, you may want to consider investing the IRA in a C-corporation and placing the passive real estate investment through the C-corporation. 

Total Asking Price is 1.8 MillionMonthly income= $30,135Monthly Expenses (excluding debt service)= $15,003Would be looking at conventional financing of 5.25% over 25 years with 25% downOwner would also be open to seller financing