If this is legal does this somehow limit your IRA's exposure to liability if someone sued you? 

The fee continues “because it can” and as a result of the Real Estate industry and legislators turning a blind eye to attempts to legislatively limit or end this practice.

Agreed Charles, HOA fees can really rob cash flow in a market where rent per bedroom/tenant is limited.

Usually the amount is limited to around $3000 in damages, but it can do a few things.  

If that is true it severely limits the pool pf prospective properties to try this on. 

The second is it always peaks my curiosity when people talk about losing their job, being on the ledge of broke, have limited experience, but then decide they want to be the next big thing in real estate investing.

The only double closes I have done - involved purchasing the home for 30 minutes with our funds, while my buyers were in the waiting room, and then sold using owner finance - so my experience with outside money is limited.

You'd be surprised....some zero down deals are back out there for investors in limited markets.  

Many stratas do not allow rentals, or limit the number of rentals. 

@Jeff Macdonald, With your limited experience you could either buy a single family or 2-4 building with 20% down, 30 year fix mortgage in good condition and learn to manage it and do work as needed.