Many people seem to complicate valuation issues more than needed, a strait forward way of looking at it is simply asking, "Would a buyer pay more for ...?"

I am considering two options for purchasing a A+++ SFR cash, Option 1 to place in a self directed IRA and let the IRA own the property and Option 2 is to buy in cash upfront and pay the taxes owed.I am 62 years old and have another five to seven years prior to retirement and so I am trying to set up my portfolio for income generation by that time.

We don't want to pay rent, and the SFH's are priced so high right now.

Talk to folks, ask them what/how they invest and that'll give you some pointers to learn about things you may not have even known existed. 

Pay them a little for their time.This will save you the expense and time of a Quiet Title.

I do want to separate my business and home expenses, but even if I had a business CC, I'd still have to pay it off with my personal money because its going to be awhile before I'm making income.

(Minus the small percent of the payments they’ve made that’s been considered capital gains.)My understanding is the 60 payments they make will be split up in to interest (regular taxes), capital gains (15% usually), and principle pay down (non-taxable.).

fast forward to 2000s my mom asked me to pay the property taxes so Ive been paying it since then.  

If that number is greater than the purchase price of the house, then I would consider buying the property after looking at other factors (location, condition, neighborhood, zoning, etc).In other words, 6 straight months of rent should pay for the house. 

But right now, it feels like I am solely holding these properties just to pay their maintenance company.