Question 1

What is an IRA non-recourse loan?

Accepted Answer

A non-recourse loan is financing made to your self-directed retirement account (like a Self-Directed IRA or Solo 401(k)), where the loan is secured only by the property itself — and not by your personal assets. Because you cannot borrow personally from an IRA under IRS rules, this structure lets you use retirement funds to finance investment real estate in a compliant way.

Question 2

Who can apply for a non-recourse loan with Solera?

Accepted Answer

You are generally eligible if you have a Self-Directed IRA or Solo 401(k) that holds enough funds (including cash and liquid assets) to cover your down payment and reserves needed for the investment property. Loan approval is always subject to underwriting, acceptable appraisal, and retirement account documentation.

Question 3

How do I set up a Self-Directed IRA or Solo 401(k)?

Accepted Answer

Establish a Self-Directed IRA or Solo 401(k) through a qualified custodian or plan provider. Ensure the plan permits real estate investments and non-recourse financing. Confirm that the retirement account is properly titled for property purchases. Solera partners with your chosen plan provider to make closing easier, but we don't endorse specific custodians. Always do your due diligence.

Question 4

What property types can be financed?

Accepted Answer

Solera's non-recourse lending can support investments held in Self-Directed IRAs and Solo 401(k)s in: single-family rental homes, multi-family (typically up to 4 units per property), and condos and townhomes used for rental purposes. Eligibility may depend on appraisal, cash flow, and underwriting standards.

Question 5

Is there a minimum down payment?

Accepted Answer

Yes, you'll typically need at least 25% of the purchase price from your retirement account to put down on the investment property. Higher down payments may be required depending on property type, cash flow, and underwriting guidelines.

Question 6

What loan programs are available?

Accepted Answer

Solera offers a range of non-recourse financing options, including fixed-rate and adjustable-rate loans tailored for investment properties held inside retirement accounts. Loan terms and rates are determined case-by-case, based on your strategy and property characteristics.

Question 7

How long does the process take?

Accepted Answer

Once Solera receives a complete application and purchase contract, closing typically takes 30–35 days. This timeline accounts for underwriting, appraisal, custodian coordination, and documentation necessary for retirement plan investments.

Question 8

Can I personally borrow from my IRA?

Accepted Answer

No — federal tax rules do not allow personal loans from an IRA or using IRA assets directly as collateral for personal loans. Non-recourse financing offered through Solera is structured so that the IRA or Solo 401(k) owns the property and secures the loan.

Question 9

Where does Solera offer non-recourse lending?

Accepted Answer

All 50 states.

Invest in Real Estatewith Retirement Funds

How It Works

Run the Numbers

Pre-Underwriting

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Underwriting & Funding

See If Your Investment Goals Align with Our Non-Recourse Retirement Loan Program

Basic Requirements:

Do you have a Self-Directed IRA or Solo 401(k)?

Estimate Your Loan Terms & Rate

Watch: How to Use the Calculator

Key Metrics We Evaluate:

Frequently Asked Questions

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