Self-Directed IRA (SDIRA)

A Self-Directed IRA (SDIRA) is a retirement account structured like a traditional or Roth IRA but with the flexibility to hold alternative assets: real estate, private companies, precious metals, and (with some custodians) cryptocurrency. The account is administered by a specialized custodian.

SDIRAs come with strict rules: no self-dealing (you can't personally use property the IRA owns), no transactions with disqualified persons (yourself, family, your business), and any UBIT (unrelated business income tax) applies if the IRA uses leverage on real estate. Violations can disqualify the entire IRA.

Why it matters for Milo customers

SDIRAs are a complex but powerful tool for crypto-wealthy real estate investors. Milo doesn't directly finance SDIRA-owned property (the SDIRA rules around financing are intricate), but borrowers often use SDIRAs alongside Milo financing as part of a broader retirement strategy.

---