Some additional info to partially answer my own question:http://www.irafinancialgroup.com/can-my-self-directed-ira-llc-get-a-mortgage-on-a-piece-of-property.phpCan my Self Directed IRA LLC get a mortgage on a piece of property?

I Love doing this in my ROTH IRA so that this is tax free.

And if I look back, we would not have been able to have the properties we currently own if it had not been for mortgages, although I am very happy we own several free and clear (also one owned by my IRA).

My mother in law is interested in using the money in her IRA to invest in RE.

. - Tax free use and growth of the cash value and death benefit as long as the policy is managed and in force for the duration of your life till death - High contribution limits that can be customized to suit your cash reserve/accumulation strategy unlike IRA, 401k, SEP, etc which are max out early and are highly illiquid Main advantage I saw personally was ability to be in positive leverage not only inside the policy (interest credit> admin/cost of life insurance/cost of interest on a loan) but to be able to borrow from the policy and reinvest it else where and have the money in multiple places at one time and still maintaining all the benefits of life insurance policy and the other invested assets.

Hedge your real estate risk by creating liquidity for yourself by building essentially your own private bank (from life insurance and self-directed Roth iras).

I think you hit the pretax retirement account limits pretty quick, and eligibility for IRA's phase out quick for higher income earners.

I plan to move my SEP-IRA to a self directed IRA or a checkbook IRA/LLC.  

This may be true about a traditional IRA as well, but I am not informed or experienced with regard to that and can't speak to it.

If there is no self-employment, then you would need to look at an IRA based plan for putting that savings to work in real estate.When you invest an IRA or 401k in real estate, it is entirely for the benefit of the plan.