What IS a Self-Directed IRA?

If you’ve spent any time in the real estate investment world, you’ve likely heard of Self-Directed IRAs. Unless you’ve attended one of ICOR’s workshops on the topic, though, you may be thinking…

“What does an IRA have to do with real estate investment, anyway?”

Let’s start at the beginning and keep it simple. IRAs are retirement accounts that – when left alone - use stocks, bonds, and mutual funds as the investment vehicle.

Individuals who have experience with other forms of investments can choose to use their IRA funds to invest in those other options. Therefore, they are investor (i.e., “Self”) directed. Like you, our favorite investment alternative is real estate, and IRA funds can be directed towards your next property investment.

If you’ve done a few deals and feel like you have knowledge (or access to knowledge) that will help you leverage a successful real estate deal, Self-Directed IRAs can be a great option for funding your own deal. No banks, no notes, no interest.

Many of our members learned how Self-Directed IRAs can facilitate deals during our monthly workshop with Equity Trust earlier this month. For instance, did you know you can avoid capital gains taxes on the sale of a rehab if facilitated through your Self Directed IRA? This is just one way you can grow your wealth faster using IRAs.

If you missed the last workshop, be sure to stay in the loop for future educational opportunities and visit Equity Trust’s FAQ here for more information.

As a member of ICOR, you can receive exclusive access to Equity Trust’s expertise and white glove service so that you have a guide through the process and set yourself up properly to be your own lender.