I apologize, We are attempting to purchase and trying to get owner financing.

Long story short they did catch up to it and it cost him a great sum of money in penalties plus some attorney fees.As long as you can document that there is a situation preventing you from now doing so, and you contact HUD and ask them what you should do and attempt to get your communication in writing you should be able to support your position or at least cover yourself.

I had a tenant attempt suicide in one of my units.

So I must express that for anyone else who reads it and considers attempting to do so.A colleague and I have been discussing one of his audits involving a self directed IRA.

I have a soft spot for house with charm and character and this is one, but I digress.Going back to my question on these houses with detached quarters, do they really work as rentals?

Brian Hoyt I was not attempting to educate you in your own investment area, only stating research can find places.

The listing agent was playing games.After another attempt to contact them we were told it's pending, they signed a contract already.My agent thinks they already had a buyer lined up, but probably the bank required them to list on MLS so they did it to appear they made an effort, but made up excuses to stall everyone until their buyer got the contract signed.I am running into that quite a bit lately.My agent advised that because so many people are playing games these days, it may be necessary for me to submit offers without viewing the property first, but stipulate in the offer a contingency to see the property within X days.

I'm sure many others will chime in and attempt to crunch the numbers for you.

To me it isn't a step in the direction, more a side step that turns not only those attempting to wholesale off, but also those you attempt to wholesale to.

So I am of the opinion that attempting these types of investments are just to risky in potential violations of IRS guidelines and as such, why risk it, just use the funds as a lender and avoid such problems and managerial headaches keeping your IRA and you a much more passive and legal investment.Jon Klaus - If the other party is a non-disqualified party, you have zero issues, as Jon stated, i was under the impression that you would be partning with the IRA and in that case, you would likely run into problems, however, if you were to perform the property management, I believe you would still run into problems.