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buying investement property

As an investor, is there a way for me to buy property using my retirement like an IRA?
  • July 19 2013 - Saint Paul
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Answers (6)

Profile picture for Tyler Tapley
I believe there is.  You need to consult with your accountant though to make sure.

Good Luck!
  • July 19 2013
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There sure is and it is done all the time! If you would like my brokerage can help you with the process and find a good investment property for you. Just contact me directly off my profile.

Good Luck!

~ Chris
  • July 19 2013
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Investor

Depending on your working status there are two primary methods to utilize a retirement vehicle to purchase real estate.

Keep in mind though in order to accomplish this 100% of the investment must come from the retirement fund, including earnest money deposit.

If self-employed of any kind the best bet is to use a SEP IRA as this gives you the maximum amount you can personally contribute however on the other hand if you are an employee with no other source of independent income, then a Self Directed IRA is your best bet.

I do know a good financial advisor in San Diego that can help people throughout the US get established or you can usually set them up with your own financial institute however I wouldn't trust them to be very knowledgeable with the real estate investing side.
  • July 29 2013
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You absolutely can use your retirement or IRA to buy investment properties whether rentals or rehab. You'll have to move the money to a self directed IRA, then, as long as you invest in accordance IRS regulations, you're golden. you should also understand that if you buy a property in your IRA the proceeds and or profits go back into your IRA, for it's the IRA that technically owns the asset. There are ways to use the IRA for investing in Real Estate without the IRA itself owning owning the asset but that's too complicated to go into via email. Contact me directly if you wish to personalize this conversation. Because these techniques are so unconventional and mostly used only for Real Estate, a financial advisor will most likely poo poo the idea and tell you what a bad idea it is, they will most likely not understand it and will tell you it's probably illegal, (which It is not)..that's been my experience. Best of Luck
  • August 06 2013
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You can buy a investment property with your IRA. If you are looking for an investment property it is probably a good idea to meet with a Realtor in person to discuss your options area, type of property, budget. Better to make an informed decison you can never have to much good advice and or guidance when considering the purchase of any property. Hope this helps feel free to contact me with any questions ! 
  • August 06 2013
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To correct one of the answers above, 100% of the money does NOT need to come from your IRA.  You just can't borrow money that you sign personally on (i.e., you need a non-recourse loan).

So, for example, you can buy a property with half your personal money and half your IRA, so long as the property is titled according (i.e., you and your IRA account, as tenants in common).

You need to first transfer your IRA to s sled-directed custodian. I recommend IRAServices.com in CA and NewDirectionIRA.com in Colorado (I personally use the latter with my own IRA).  Then, you need to find the appropriate property and have a tax professional (CPA or attorney) who can advise you through the process.
  • September 21 2013
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