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There are options available to secure the necessary funds. For example, your IRA could potentially take out a loan – known as a non-recourse loan.
With a non-recourse loan – also referred to as debt financing – the only collateral securing the loan is the property being purchased with the loan.
There are rules to be aware of when using debt financing, so it’s important you understand how it works before you begin.
In this video, John Bowens explains what a non-recourse loan is and how it works when investing in real estate with a self-directed IRA, self-directed Roth IRA, or other tax-advantaged accounts.
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