|
John, a old friend of mine, rolled over his 401(k) to a self directed Roth IRA, and immediately started looking around for something to invest in. The first investment that came his way was a rather run down house, but it was in a good location. He decided to use his Roth IRA to rehab it, and he purchased an option to buy it, at quite a low price. Some other things came up in his life and the property just sat there for six months, and he never got around to fixing it up. However his new wife started getting on his back about it sitting there. He told some of his mates at the local club about the house, and one of them made him an offer for the house, it was a few thousand more than he paid for it so he told his friend he would get the documentation made up the next day. So the very next day John went around and saw his IRA custodian and directed him to draw up the documents to sell the house to his friend. The documentation went through in three days and John made a few thousand for doing nothing, he didn't even have to rehab the house. He was really glad that he had changed over to a self directed Roth IRA. When he takes the money out of his IRA when he is fifty nine and a half years of age, it will be tax free. Johns next foray into investing with his self directed Roth IRA was buying tax liens. You purchase tax liens from the county, who put the liens on property where the owner can not pay the property taxes or the subsequent penalties. You can make good money dealing in property liens, with your self directed Roth IRA, from the owner when they pay the tax lien and it is paid off, including interest. Or if the owner does not pay the tax lien, the house ends up becoming John's. John made 15% on his first tax lien deal, in only three months, not a bad return for the money outlaid. Since then John has averaged 20% on most of his deals. John told me that he liked tax liens, because you don't need a lot of money to get started. You can pick up a lien from as little as $50.00 to $250.00 and still receive a good return on your money. If you don't want the hassle of dealing in real estate by yourself with its attendant risks, or if you want a simpler more TURNKEY solution. Go to the url at the bottom of this article, from there to my website, you will find more information on real estate and IRAs there. Gordon Hall is an active participant of a national network of professional writers who advocate socially conscious real estate investing through the use of retirement vehicles such as IRAs, 401Ks and other retirement assets. For more information, or to get involved, please visit the following http://www.double-your-ira.com
Related Articles -
Self, directed, Roth, IRA,
|
