I know some people who have money they would invest as private lenders. I don’t know the process though. What documents do I need to get the money from their IRA or bank account to me and how would this work exactly? What else can they use besides their IRA or bank account? I know cash would be the easiest. I just want to be able to explain the paperwork process of getting the money from their IRA or their checking account and giving it to me to purchase reo’s and foreclosures.
First, they need to have a “self-directed” IRA open. You can’t do this if your account is with Fidelity or Schwab or something.
The company I use is Equity Trust. It is a fairly simply transfer process to move the account but there are more fees involved.
Check out their website and you will see they have all the documents and info for Real Estate transactions right there for you. They are very helpful on the phone too.
For each deal it takes about 7-10 days to get the paperwork through for each deal. You can pay a fee for faster.