Pooling Retirement Funds

Are you thinking about using your self-directed IRA to purchase that investment property that is one of the greatest deals you have ever seen? You know all about self-directed IRAs and you are ready to invest your retirement funds and invest in real estate. But you do not have quite enough money to purchase this “deal of a lifetime”. Pooling just might be your answer. Individual investors can pool their self-directed IRA with personal funds, outside non-IRA money, non-recourse loan money (UBIT may apply) and other people’s IRA money. You can form an LLC with these others and purchase what you want.

Real Estate IRA – Don’t Miss the Buyer’s Market

We all hope we are nearing the end of this buyer’s market…but what a great time it is for the smart investor.  As loan qualifications have gotten stricter buyers are looking for other investment avenues.

A growing trend is using a self-directed IRA/401(k) to purchase real estate. Yes, you can use your retirement funds to invest in real estate. All types of real estate investments are allowed by the IRS: residential, multi-family, commercial, industrial, land etc. Keyword here is INVESTMENT.  This is only for investment property. You can not use your IRA to invest in a home for yourself or even a second home.  You can have no direct dealing with the investment property.  Your IRA owns it not you and you always want to keep your tax-deferred status.

Did you know you can also secure a loan with your IRA to purchase real estate? You can only do this with a non-recourse loan.  There are a few reputable non-recourse lenders out there that cater strictly to self-directed IRA real estate investing. Typical loan to values are around 60% to 70%. All loan payments are paid directly from your IRA and all rental payments go right back into your IRA…tax-deferred or tax-free depending on the type of IRA you have.

Self-directed real estate IRAs are quickly becoming the wave of the future.  Investors want to have their retirement funds in assets that they know instead of being at the mercy of Wall Street.

Open Your Retirement Account Today

April 15th is quickly arriving and there are a flood of people opening IRAs.  Saving for your retirement is more and more important given the current and future state of Social Security benefits.  Baby boomers are starting to seriously consider their retirement options.

The two most frequently used retirement accounts are the Traditional IRA and the Roth IRA.  The biggest difference between a Traditional and a Roth IRA is the way contributions are deducted concerning your taxes. Contributions to a Traditional IRA  are deductible and Roth IRA contributions are always non-deductible. A Traditional IRA is tax-deferred until you must take your required minimum distributions.  A Roth IRA is tax-free since you paid your taxes when you made your contribution.

Your current tax bracket may help you make the decision as to which type of account is best for your situation…as always consult a professional.  Your retirement funds are your future.

The Ultimate Mortgage Directory

For those of you looking for a reputable mortgage company you might want to check out The Mortgage Corner. It is a directory and listing of mortgage companies and lenders. Please always do your due diligence. We do not endorse or recommend any companies or lenders.
Mortgage Corner – The Ultimate Mortgage Directory

401(k) Rollovers

With the baby boomer generation being laid off and taking early retirement decisions will have to be made about where to put those 401(k)s. A growing trend is self-directing those retirement funds.  You can rollover your 401(k) into an IRA and invest through your IRA. You keep your tax-deferred status and are able to invest in what you know.  Some available non-traditional investments are real estate, promissory notes, tax liens, REITs, TICs, life settlements and more.  You are required to have a self-directed IRA custodian for your investment to keep the tax-deferred status.  Provident Group is a custodian for retirement funds.

Invest in Oil and Gas with a Self-Directed IRA

Self-directed IRA funds, correctly structured, can invest in oil and gas.  You can use your existing IRA or convert your 401(k) into a self-directed IRA.  Oil and gas can generate monthly cash flow that goes directly into your IRA…tax-deferred or tax-free if a Roth IRA.  Always perform your due diligence before making any investment.

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401(k)s and Football?

A friend of mine is the equipment manager for a professional football team.  Information about their 401(k) was handed out at a team meeting.  After the meeting one of the players came up to my friend and said, “I don’t care what any of you say, I am not running a 401(k).

The New Website is UP!

Our new website is up and running. So advanced, so new and so informative. We now have on-line chat for our clients and visitors to our site. This has already kept our customer service team busy responding to the many users. April is heading up the on-line chat team and has proven to be a great asset in this area. Users have asked about proper forms to use, what they are able to invest in, how a self-directed IRA works and many more interesting questions. Visit the site and start talking!