Hello, I'm so confused, please help!

A friend who has loaned money in the past (all documented, of course) has some stagnant investments and wants to loan me 100k at 6% to buy a condo. I will pay him a mortgage as my bank over the next 20 years. However, if he sells this stock or cashes in his IRA he thinks that he has to pay 22% since it will count as income for the year. Is this true? Since he is immediately reinvesting in me, a private borrower, is there a way for him to avoid this ridiculously large tax? Especially since he will have to pay income tax on my payments to him. It would be a solid investment for him and a big help to me. The condo will remain in his name until paid, much like the bank owns the deed until the mortgage is paid off.

-Kandi