Tax Free Flipping?

I no longer live in my renovation houses so that avenue of tax free income is gone.

Here's my idea based on a conversation with a CPA:
Serial flipping is now SE income for me.
I can then fund a SEP.
Then I can roll it over into my IRA.
I have also rolled 401K's over into it.
It will soon be large enough that I can buy a cheap house with it
I set up a self directed IRA
I fund the renovation entirely WITHIN the IRA.
When I sell the funds all go back in the IRA.
Eventually, I can fund two houses.
When, I can run the entire business with IRA funds, I am then tax free.
When I need income, I flip without using the IRA.

Is anybody doing this? or working toward this?

KEN

This can be done through a SD IRA. A big issue is making sure that there are sufficient funds to pay for all expenses within the SD IRA. If you come up short because of unexpected problems (someone trashes the place, won't leave, neg. cash flow), you cannot bail out the place with money outside the IRA without possibly incurring penalties. Be sure to get professional advice in this area from someone experienced in this area - it's worth the cost.

Thanks Finigamps!

Flipping (I prefer to call it renovate and resale) is what I am talking about. Basically, reducing my exposure to risk by holding as short a time as possible. Then, I am much less likely to have a disaster that requires outside funds.

Example:
Buy 1st house with SD IRA.
Fix and resell.
Put $10K profit back in IRA three months later.
Do this with a few more 'flips'.
Finally, I have enough to run two houses at a time in the pipeline.
Then three houses and eventually the entire business is flowing through the SDIRA.

KEN

Thanks!

Houses are cheap here and I can run them through the SDIRA entirely. But to get income for living expenses, I must do some conventionally.
And pay tax )o:

Also, I have to find a way to convert my IRA to ROTH.
This could bump me into a high tax bracket.

KEN

watch out for disallowed transactions and costs in the SD IRD.