A. It's true that your IRA might act as a shelter to the income or gain you get from your real estate investment, however, there are some downsides, make sure you think carefully before taking actions:
First, any related tax deductions will be lost, for example, you cannot deduct property taxes or mortgage interest, or take advantage of depreciation.
Second, you have to purchase new properties, and you can't put properties you already own in an IRA.
Third, you won't be able to get a traditional mortgage, and more likely you will have to pay cash.
Fourth, there are various rules around how much you can participate. You can't live or work on the property, and you can't pay for upkeep outside of the IRA.
Fifth, you can's use money outside of IRA to pay for expenses such as repair a roof or replace a dishwasher, otherwise you will jeopardize the tax-deferred status.