IRA Non-Recourse Loan FAQs

NASB’s IRA non‑recourse loans are made to the IRA (or its title‑holding entity) without a personal guarantee, and the property secures repayment. Conventional mortgages typically require personal guarantees and are underwritten for the individual borrower.

Under NASB’s program, the borrower is the self‑directed IRA (or its permitted entity), not the account holder personally. This structure aligns with non‑recourse requirements and avoids personal liability.

NASB’s IRA non‑recourse loans are for rental or investment properties only; personal occupancy is not permitted. Non‑recourse loans are intended for investment use rather than owner occupancy.

NASB generally requires at least 35% of the purchase price to be vested in the IRA to be eligible. Substantial equity lowers lender risk in non‑recourse transactions.

NASB accepts IRA funds in accordance with custodian rules and standard documentation for non‑recourse lending. Typically, funds must be seasoned and verifiable within the IRA.

NASB evaluates reserves during underwriting and may require adequate cash to cover expenses and contingencies. Reserves support capacity for taxes, insurance, and vacancies.

NASB can finance warrantable condominiums that meet specified project criteria. Warrantability standards help ensure marketability and stability.

NASB finances duplexes, triplexes, and four‑plexes through its non‑recourse program. A small multifamily property can be eligible collateral.

NASB’s eligibility applies to certain multifamily properties (5+ units), subject to underwriting and program guidelines. Larger properties may require additional documentation and analysis.

NASB does not finance residential properties with large acreage under the IRA non‑recourse program. Large‑acreage collateral may not meet the program's criteria.

Yes—NASB offers adjustable‑rate and fixed‑rate structures for non‑recourse IRA loans. Program selection depends on risk tolerance and investment strategy.

NASB typically processes and closes within 30–45 days once documentation is complete. Timelines vary depending on appraisal scheduling and custodian coordination.

NASB can often provide decisions within ~48 hours when the application, purchase contract, and property details are complete. Complete submissions enable faster review and turnaround.

NASB generally requires the loan application, purchase contract, acceptable appraisal, property insurance, and custodian documentation. Exact requirements vary by property type and transaction details.

No—NASB’s IRA non‑recourse loans do not rely on the account holder’s personal income because the IRA is the borrower. Non‑recourse underwriting focuses on collateral and IRA funds.

Yes—NASB coordinates with your IRA custodian to execute loan and closing documents in the IRA’s name or that of a permitted entity. Custodian involvement is required for IRA‑titled transactions.

NASB orders an appraisal meeting program to confirm the collateral’s value and marketability. Independent valuation is required for underwriting.

NASB considers a property's viability as investment collateral during underwriting. Lenders typically evaluate rental potential and operating costs when assessing risk.

NASB may require evidence that the property meets condition standards consistent with program guidelines. Property condition can affect eligibility and valuation.

NASB does not offer non‑recourse IRA loans in New York and generally excludes the Chicago and Baltimore metropolitan areas (exceptions may be considered). Availability is subject to program policy and may change.

The NASB FAQ hub focuses on lending mechanics; your custodian and advisors handle transaction and tax elections outside of loan terms. Lending policies address collateral and underwriting rather than tax elections.

NASB has decades of experience originating and servicing non‑recourse IRA loans and provides dedicated support throughout the process. This specialized experience helps streamline complex IRA transactions.

Yes—NASB maintains a list of custodians that offer real estate and non‑recourse lending, but does not endorse specific companies. Borrowers should conduct independent due diligence when selecting custodians.

NASB can review permitted IRA entities under program rules; documentation will be required to confirm the entity's structure and authority. Entity structures must comply with non‑recourse requirements.

NASB can discuss refinancing scenarios subject to collateral, LTV, and program eligibility. Availability depends on market conditions and underwriting.

NASB offers rate options consistent with its non‑recourse program and market conditions; your loan officer can advise on current lock‑in practices. Lock availability varies by product and timing.

NASB requires confirmation of property insurance and typically collects taxes and insurance per escrow requirements at closing. Carrying costs must be paid from IRA funds in accordance with custodian procedures.