Permalink Submitted by Alan Spross on Tue, 2008-03-04 22:07
Yes, but a specialized self directed IRA custodian must be used, one that is experienced in avoiding the many risks of prohibited transactions with the IRA, avoiding unrelated business income taxes, etc.
Some of these custodians include Pensco, Guidant etc. I suggest a full consideration of the risks before jumping into this. If you still feel inclined to do so, a Roth is a better type of IRA to use than a traditional IRA, because any gains are potentially tax free. With a TIRA, any gains are subject to ordinary tax rates upon distribution, rather than the preferred LT cap gain rates and depreciation benefits available for real estate held in a taxable account.
Permalink Submitted by Alan Spross on Tue, 2008-03-04 22:07
Yes, but a specialized self directed IRA custodian must be used, one that is experienced in avoiding the many risks of prohibited transactions with the IRA, avoiding unrelated business income taxes, etc.
Some of these custodians include Pensco, Guidant etc. I suggest a full consideration of the risks before jumping into this. If you still feel inclined to do so, a Roth is a better type of IRA to use than a traditional IRA, because any gains are potentially tax free. With a TIRA, any gains are subject to ordinary tax rates upon distribution, rather than the preferred LT cap gain rates and depreciation benefits available for real estate held in a taxable account.
Permalink Submitted by Jim MacArthur on Wed, 2008-03-12 23:36
Here is a list of Self Directed IRA Custodians that allow real estate investments:
[url]http://www.thehardmoneypros.com/self_directed_ira_custodians.shtm%5B/url%5D
And an article on investing in real estate with a self-directed IRA
[url]http://www.thehardmoneypros.com/investing_in_real_estate_and_trust_deeds…