Using Real Estate to satisfy your RMD

I have a client who has farm land in his IRA. He is now in required minimums and wants to take a percentage of the land to satisfy his RMD. He is trying to avoid the necessity of having deeds prepared and recorded each year.

Has anyone else faced this problem? We are tossing around the idea of the IRA opening up an LLC that will hold the land but that doesn’t seem to make sense either.

Thanks.

Marianne



A quit claim deed is legal even if it’s not recorded. Why not record the first one, use quit claim deeds for later RMDs and then record all of them with the final distribution.

Check with your state to see if this works like it does in mine.



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