Permalink Submitted by Alan Spross on Thu, 2009-11-19 04:12
Anne,
A REMIC is not inappropriate for an IRA because it produces income otherwise taxable at full ordinary income rates. However, with the current upheavel in the mortgage industry and rising foreclosure rates due to falling values, the greater question is whether these pools of mortgages are appropriate at all. Certainly, each individual REMIC would need to be carefully investigated.
Permalink Submitted by Alan Spross on Thu, 2009-11-19 04:12
Anne,
A REMIC is not inappropriate for an IRA because it produces income otherwise taxable at full ordinary income rates. However, with the current upheavel in the mortgage industry and rising foreclosure rates due to falling values, the greater question is whether these pools of mortgages are appropriate at all. Certainly, each individual REMIC would need to be carefully investigated.
http://en.wikipedia.org/wiki/Real_Estate_Mortgage_Investment_Conduit