Why using a Roth IRA for real estate is a great way to build a generous reserve for retirement

Have you ever heard of using a Roth IRA for real estate purposes, that is, using your retirement savings to invest in real estate? Investing in real estate from an IRA is a great way to build a more than generous retirement savings fund IF you know how to do it right. This article will explain the proper way to use a Roth IRA for real estate purposes and what this process involves.

By establishing a Roth IRA, you get great tax advantages. All contributions to a Roth IRA are made with pre-tax dollars. Although they are not tax deductible like traditional IRAs, you can use more of your money to invest. So if you contribute $5,000 to your Roth IRA, it will all be put into your account and taxed when you retire in retirement (often at a lower tax bracket level) instead of just $3,500-$4,000 with an IRA traditional. This way, you can use that extra $1,000-$1,500 to invest with NOW for higher returns.

The next thing to do is choose self-direct your Roth IRA. What does this mean? A self-directed Roth IRA is a retirement vehicle over which you have sole control. So instead of letting a third-party financial institution choose what your money is invested in (which is often whatever security makes them the most money), YOU get to choose what to invest it in. You also get many more investment options to choose from.

So what does it mean to use a Roth IRA for real estate? Here’s a quick overview of how it works:

1. Choose a IRA custodian who withholds your self-directed Roth IRA contributions, files all documents and reports, and helps you with the investment process.

2. Locate the right piece of real estate to invest and buy it with your self-directed IRA.

3. Do whatever it takes repairs and renovations to property (all using your IRA funds)

4.Choose your way to earn money– (a) find a qualified buyer or (b) rent the property

5. Whether you sell the property or rent it, your custodian collect all winnings you incur your investment and put it back into your self-directed IRA.

Sounds like a lot of work, doesn’t it? Sure it can be, if you go alone to the process…

But what if you could tap into the knowledge and experience of a well-established company that specializes in using a Roth IRA for real estate purposes?

What if a company like this could place you with the right custodian who will see you through this entire process, find you the right real estate, do all the necessary repairs and renovations, and even find you tenants or a qualified buyer? to buy your property?

What if this company had a program in place that is profitable for the investor AND useful for the community?