Article Side

Online Article Directory!

Hello Guest! Login or Register to submit articles!

Investing your IRA through a Check Book IRA

By James Stanley Subscribe to RSS | December 3rd 2011 | Views:
loading
 
  



We all know that the IRA can be used as an excellent tool for investment to help you retire early. But not many know the various options available to an average IRA investor. People looking to invest in real estate can either do so through a self directed IRA or a check book IRA.

The former refers to the setting up of a self directed IRA with a custodian who offers real estate as an option. You would need to direct the custodian to a purchase property of your choice. Now this is easier said than done, because every time you make an investment, you’ll need to get approval from the custodian that holds your investment funds. Besides, since profits from, and expenses towards the investment are to be drawn from and directed towards the investment account only, the custodian is likely to charge you every time there is a transaction. And if you’re looking to buy a property through a financing option, The custodian needs to also approve the loan terms

A good option is to start a check book IRA. Through this account, you establish an LLC and act as a manager for your company. The company that you own can make investments and manage them on your behalf. You can also rent or lease properties for income or long-term gains. And returns from that investment can be used to pay management fees to a professional if you don’t want to do the task yourself. There are some, who take this a step further to set up a 401k for the employees of the company (via yourself)! The money obtained can be used for investment in additional real estate or any other asset allowed under the rules.

There are others who use the money to build their dream home and then rent it out. And when they reach the age of retirement, the property can be distributed to them. But they would be liable for taxes, since the property was originally an asset in the IRA; hence, if you’re looking to invest in a retirement property make sure you speak to a professional about the possible tax ramifications.

Thus, there’s more control over your property, which wouldn’t have been possible through a self directed IRA through a custodian. Rather than having to wait for permission from the custodian every time you have to make an investment, you can directly write a check for the property. And of course, the fees will be lower.

For those who aren’t very sure of their retirement plan investments, they can always seek help from a professional dealing in real estate IRAs, to help them with the real estate investment. The company can help you make wise and timely investment decisions.

James Stanley - About Author:
A check book IRA is beneficial for investors looking to control their own destiny while investing in real estate and other Hard Assets. James Stanley is an expert in retirement investment options and has written several articles to help people choose between the different IRA options including real estate IRA and self directed IRA.

Share on Facebook Tweet It Stumbleupon this post This post is delicious !

Article Source:
http://www.articleside.com/business-articles/investing-your-ira-through-a-check-book-ira.htm

Related Business Articles Subscribe to RSS

Real estate Mohali – a Boom for investors
Published by Deepti on March 22nd 2012 | Business
In the last few years India has seen a tremendous growth in the real estate sector especially the no...
 
Feel a real combat experience with airsoft
Published by Tayl Orhyer on February 11th 2012 | Business
Fight attracts warriors. Fighters never yield. They fight until the last breath. The thrill and exci...
 
Real estate agents in Walsall lead you in investing property
Published by Redstones on January 21st 2012 | Business
Lettings franchise offered at Redstones letting agents, one of the leading estate agents in Walsall ...
 
Get the best house deal in Mississauga with reliable real estate agents
Published by MySquare on January 24th 2012 | Business
The economic condition in Canada has advanced a lot and people from all over the globe is finding th...
 
Get your home at naples florida waterfront real estate,new homes for sale in naples florida
Published by Harry on March 7th 2012 | Business
There are plenty of homes in naples florida waterfront real estate You may go about choosing in two ...
 
Experience the difference with Miami Luxury Homes a luxury real estate
Published by Randy James on July 26th 2012 | Business
If you are of the opinion that lodging in the Miami luxury homes is just a waste of time and money t...
 
A Blessing for Investors – Real estate Mohali
Published by Deepti on March 22nd 2012 | Business
Real estate of any country is an absolute blessing to its economic growth. It has a good contributio...
 
The Best Amenities of Naples Florida real estate
Published by Harry on April 3rd 2012 | Business
When you are looking for homes in Naples, Florida, it is important to check out Quail West homes for...
 
Get noticed using Illuminated Signs at your estate agency
Published by Mary Porter on June 19th 2012 | Business
Think about fitting Illuminated signs at your fascias, they’re eye-catching features that are just...
 
Real estate agents in Texas and Houston can be of great help
Published by Ashish Pandey on February 20th 2012 | Business
In order to find the best property in the areas of Houston or Texas, you should always hire the real...
 
Luxurious homes in old naples florida real estate
Published by Harry on March 28th 2012 | Business
Let the woodlands and the cool breezes of the old real estate guide you into a state of comfort and ...
 
Play Book of Ra online for real money with Novoline
Published by Shawn Holmes on November 28th 2011 | Business
The huge popularity of online games has set a new trend of internet-based gambling. This is perhaps ...
 
ColorFx- Closer to real life
Published by James Blee on May 11th 2012 | Business
According to one recently concluded survey, the fan following for colorfx is on the rise....
 
Boom in Mohali real estate market
Published by Ravinder on January 16th 2012 | Business
Investing in real estate is certainly not an easy job. One needs to bear in mind an array of factors...
 
What makes Australian real estate for sale easy these days?
Published by Noel Angle on January 4th 2012 | Business
Times have certainly changed the way Australian real estate for sale was handled. Earlier there were...
 
Explore the best deals from real estate Chandigarh
Published by Deepti on March 22nd 2012 | Business
Today Chandigarh is the most preferred place for real estate investment because of its planned infra...
 
Get a home in real estate listings naples florida golf Naples
Published by Harry on June 25th 2012 | Business
An excellent agent will be able to demonstrate you top quality qualities Naples and settle as your r...
 
Make a judicious move by investing in Mohali real estate
Published by Deepti on March 24th 2012 | Business
When it comes to making a speculation in real estate in both residential as well as commercial secto...
 
How to start real estate news letter
Published by Dany on April 19th 2012 | Business
Real estate news letter is considered to be an effective advertising and marketing tool for real est...
 
Real estate Mohali – lucrative investment options
Published by Deepti on March 24th 2012 | Business
In the last few years Mohali has emerged as the favorite destination for investment in real estate. ...