Posted by John Merchant on March 17, 2006 at 17:30:00:
Using a wrap typically implies the property buyer/seller is going to make payments to the bank or his seller, while receiving a larger payment from his buyer.
Problem? Since a payment has to go out every month, it’d be messy having the SDIRA custodian (Equity Trust, et al) make those monthly payments.
Solution: Direct the SDIRA Custodian to buy the shares in the new LLC you’ll establish for an amount that you figure will cover your payments to that bank while you’re waiting for your cash-out.
Then your LLC makes the monthly payments to the bank, receives the payments from your buyer, etc.