He does fantastic work and is used by a few of my borrowers. 

An IRA may purchase property and use a mortgage to do so.The mortgage must be non-recourse, meaning no personal guarantee from you.The use of debt-financing within an IRA does incur a small tax known as UDFI, whereby the percentage of the income to the IRA that is generated by the non-IRA (borrowed) money is taxed.  

Using the term "logically" taps into the borrowers fear that you may come to your senses and walk away from the deal. 2.

@Bret Rubash,To meet other REI people, you can attend REIA meetings to find others who share your interest.To get funding, learn how to attract and engage private lenders.A way you can learn to raise cash quickly is to acquire properties needing repair far enough below market that once you've completed repairs the fair market value is greater than what you borrowed from your private lenders to acquire and repair it.

The Self-Directed IRA and Solo 401k DifferencesIn order to open a solo 401k, self-employment, whether on a part-time or full-time basis, is required;To open a self-directed IRA, self-employment income is not required;In order to gain IRA checkbook control over the self-directed IRA funds, a limited liability company  (IRA LLC) must be utilized;The solo 401k allows for checkbook control from the onset;The solo 401k allows for personal loan known as a solo 401k loan;It is prohibited to borrow from your IRA;The Solo 401k may be invested in life insurance;The self-directed IRA may not be invested in life insurance;The solo 401k allow for high contribution amounts (for 2016, the solo 401k contribution limit is $53,000, whereas the self-directed IRA contribution limit is $5,500);The solo 401k business owner can serve as trustee of the solo 401k;The self-directed IRA participant/owner may not serve as trustee or custodian of her IRA; instead, a trust company or bank institution is required;When distributions commence from the solo 401k a mandatory 20% of federal taxes must be withheld from each distribution and submitted electronically to the IRS by the 15th of the month following the date of each distribution;Rollovers and/or transfers from IRAs or qualified plans (e.g., former employer 401k) to a solo 401k are not reported on Form 5498, but rather on Form 5500-EZ, but only if the air market value of the solo 401k exceeds $250K as of the end of the plan year (generally 12/31);When funds are rolled over or transferred from an IRA or 401k to a self-directed IRA, the amount deposited into the self-directed IRA is reported on Form 5498 by the receiving self-directed IRA custodian by May of the year following the rollover/transfer.Rollovers (provided the 60 day rollover window is satisfied) from an IRA to a Solo 401k or self-directed IRA are reported on lines 15a and 15b of Form 1040;Pre-tax IRA contributions on reported on line 32 of Form 1040;Pre-tax solo 401k contributions are reported on line 28 of Form 1040;Roth solo 401k funds are subject to RMDs;A Roth 401k may be transferred to a Roth IRA (Note that from a planning perspective, it may be advantageous to transfer Roth Solo 401k funds to a Roth IRA before turning age 70 ½ in order to escape the Roth RMD requirement applicable to Roth 401k contributions including Roth Solo 401k contributions and earnings.)

Upon building the home I want to borrow money from hard money lender, refinance to a conventional loan and pay the lender.

I am borrowing at 10% with a point or two.

Account Closed  that's quite a robust underwriting critera.. if someone makes all of those points they probably don't need to borrow money.. they all ready made it  LOL.. although I easily do but on occasion I will borrow from private or HML when I have my bank lines maxed out.. rates are dropping like a rock too for hML on west coast..

"Note that there are no exceptions, mentions of a “one year rule” for occupancy or other clauses that allow a borrower to move out of the property after a specified amount of time."

I have closed 1,200 or so of these...If you are talking about a refinance, where the borrower has enough equity - you can roll costs INTO the mortgage, increasing your mortgage to more than your payoff amount, all day long.On a purchase, you cannot.