Real Estate IRA
Go Real Estate IRA!
Over time, real estate investments have afforded many people with the powerful combination of appreciation and income. The purchase of real estate through a self-directed retirement plan is a popular investor choice for this and other reasons. IRA funds are still a virtually untapped source of funds that can be used to invest in real estate.
A self-directed IRA gives you the freedom to invest in non-traditonal assests including all types or real estate. For individuals who are already investing in real estate, this is an opportunity for them to invest in what they know best.
Why Real Estate? The real question is why not real estate in an IRA?
In a normal sale of investment real estate, there are taxes assessed (ie. capital gains, depreciation recapture, applicable state taxes). When a property is sold within an IRA, 100% of the proceeds roll back into the IRA. With real estate prices at record lows, there has never been a better time to invest in real estate. Whether you are a seasoned investor, or a first-time investor, this is your opportunity to take advantage of the market.
All Real Estate Qualifies for Self Directed IRAs
- Condominiums
- Single Family
- Duplex/Triples
- Commerical
- Condotel
- Raw Land/Farm Land
*Real Estate Must be for Investment Purposes Only - Personal or Family Use of a IRA Real Estate is Strictly Prohibited
Advantage of Real Estate IRAS
Diversification of your retirement portfolio: You've heard the saying, "Don't put all your eggs in one basket." The same is true for your retirement basket. This is simply a way of spreading your retirement eggs over several baskets.
Reduction in Taxable Income: Any income that is generated by the property held by the IRA is not subject to tax because it is sheltered by the IRA. When investing in real estate, you make all of the decisions; when to buy, when to sell, when to lease, etc. YOU call the shots. YOU are in total control.
Steps to Buying Real Estate with Your IRA
Buying a property with your IRA is easier than you might think. Here is a step by step outline of the process:
After you have set up your retirement account with AdvantaIRA - Click Here for Forms
1. Find the ideal property that you want your IRA to purchase.
2. Prepare the offer to purchase under the name of AdvantaIRA Trust, LLC FBO Your Name IRA #xxxxxx, and have AdvantaIRA will sign the contract.
3. Once the contract is accepted, submit a Buy Direction Letter instructing us to purchase the property with your IRA.
4. Based on the information provided on the Buy Direction Letter, AdvantaIRA will prepare closing instructions for the title company/closing attorney.
5. Once closing documents are ready, AdvantaIRA will forward a copy to you for review and approval. Once we have your approval, we can proceed with signing the original documents and wiring the funds for closing.
6. After closing, all income and expenses will flow directly through the IRA. Any bills to be paid out of the IRA will need a Payment Authorization Form.
Free Ebook on Real Estate IRAs
Please download our free eBook on Real Estate IRAs written by Dave Owens, CPA, CES
Go to www.daveowens.com
DISCLAIMER: Advanta IRA Trust, LLC Plans does not offer investment, tax, financial, or legal advice nor do we endorse any products, investments, or companies that offer such advice and/or investments. All parties are strongly encouraged to perform their own due diligence and consult with the appropriate professional(s) licensed in that area before entering into any type of investment.
*All investments involve risk. There are no guarantees that alternative asset investments will increase returns and minimize losses. Like traditional investments, there are inherent risks of investing in alternative assets and many hold the opportunity to lose most or all money invested.