They separated from the community that was dragging them down, got sober, and they have had steady employment for the last 4 years.

I believe the longest loan term you can choose is 5yrs and there is no tax penalty as long as the loan is paid in full and you are still employed by the company.

…hinders the ability of registered people to acquire employment and housing.

The real estate market is quite stable in the city due to pretty steady employment and a good amount of demand, from what I know, especially for multi-family properties.

@Kathleen AmundsenVisit the following link to learn more about disqualified persons with respect to solo 401k plans and IRAs. http://www.irs.gov/Retirement-Plans/Retirement-Pla...Also solo 401k plans are for the self-employed.

Then he sells everything(or atleast the fully depreciated ones) and buys more or build new.On a different note, I have been self employed since 2009.

@Sheba ShimojiIf you are self-employed, also take a look at the self-directed solo 401k as it is generally more advantageous.

I'm self employed now, and until my agency takes off, I'm bouncing between Audio Visual contract work (my previous profession) and contract investor marketing assistance work.  

Is there a different strategy I can employ?

It's likely that many of the strategy all of us employ will differ.