Investing in Notes & Mortgages

Investing in Notes & Mortgages Using Your Self-Directed IRA

While notes are one of the most common investments, no two notes are ever alike. The terms of the note are completely up to you to decide. Please keep in mind:

The notes must be real economic transactions

Your IRA must benefit from this note, which means the interest rate must be realistic. A common question is, “My brother is not a disqualified person. Can I lend him money to buy a new car at 0% interest?” The answer is no, because your IRA is not benefiting from this transaction.

Here are the steps:

  1. Identify a borrower and perform your due diligence
  2. Documents required (must be received at least 48 hours prior to funding)

Additional Documents:

Notes/Mortgage Checklist

Real Estate Note:

  • Certificate of ownership of Deed of Trust
  • Preliminary Title Report of Commitment
  • Buyer/borrower’s closing statement
  • Servicing agreement
  • Evidence of hazard insurance

Secured Note:

  • Certificate of ownership
  • Buyer/borrower’s closing statement
  • Servicing agreement

New Note Requirements:

Lender Name: CAMA SDIRA LLC FBO [ YOUR NAME ] IRA

Lender Address:

512 East Township Line Road
5 Valley Square, Suite 200
Blue Bell, PA 19422

Original Note: The original note must be signed by the borrower and client and mailed to our office

Documents required for new note purchase (must be received at least 48 hours prior to funding):

  1. Asset Purchase Directive (completed by client)
  2. Original note (must meet above requirements)
  3. Promissory Note Acknowledgement (completed by borrower)

Existing Note Requirements

Lender Name: CAMA SDIRA LLC FBO [ YOUR NAME ] IRA

Lender Address:

512 East Township Line Road
5 Valley Square, Suite 200
Blue Bell, PA 19422

Documents required for existing notes (must be received at least 48 hrs prior to funding):

  1. Asset Purchase Directive (completed by client)
  2. Original note/assignment (signed by assignor and client)
  3. Copy of original note
  4. Existing Note Acknowledgement (completed by seller)

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