Ways to purchase Real Estate in a Solo 401k
Option 1: Purchase outright - Solo 401k funds purchase with all all cash, resulting in Solo 401k owning investment property free and clear.
Option 2: Solo 401k Partners through Tenancy-In-Common (TIC) with another investor or Solo 401k, requiring that title to the real estate property is divided between entities and/or individuals.
Option 3: Use leverage (non-recourse loan) - Down payment is made from Solo 401k funds and non-recourse loan proceeds fund the remaining real estate purchase.
Additional Information
Solo 401k Real Estate
Non-Recourse Loan
Tenants in Common (TIC) Scenario
Option 2: Solo 401k Partners through Tenancy-In-Common (TIC) with another investor or Solo 401k, requiring that title to the real estate property is divided between entities and/or individuals.
Option 3: Use leverage (non-recourse loan) - Down payment is made from Solo 401k funds and non-recourse loan proceeds fund the remaining real estate purchase.
Additional Information
Solo 401k Real Estate
Non-Recourse Loan
Tenants in Common (TIC) Scenario