Friday, January 4, 2013
A Self-Directed IRA allows the account owner to make investments on behalf of the retirement plan -- like a regular IRA -- and that either a qualified trustee (for example, a company that specializes in this), or custodian, simply hold the IRA assets on behalf of the IRA owner. The appreciation and/or passive income on your real estate investment then grows within this IRA, tax-free.
Real estate purchased may include residential and commercial properties (both in the U.S. & Internationally), farmland, raw land, new construction, property renovation, development, and passive rental income. Real estate purchased in a Self-Directed IRA can also have a mortgage placed against the property, thus lowering the amount of total cash needed for a purchase.
If you'd like more information -- or would like a referral to a qualified local agent who can assist you -- please contact me at Elaine.Mallon@SothebysRealty.com. If you think you don't have the money to take advantage of today's housing market, please consult your financial planner or tax advisor and think again!