Self Directed IRA Can help you grow money. : CET Real Estate Solutions Blog
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Self Directed IRA Can help you grow money.

by Timi Abney on 10/13/15

self-directed Individual Retirement Account is an Individual Retirement Account (IRA), provided by some financial institutions in the United States, which allows alternative investments for retirement savings. Some examples of these alternative investments are: real estate, private mortgages, private company stock, oil and gas LPs, precious metals, horses, and intellectual property. The SEC has identified IRA structure as having increased risk of fraud.

Internal Revenue Service (IRS) regulations require that a qualified trustee, or custodian, hold IRA assets on behalf of the IRA owner. The trustee/custodian provides custody of the assets, processes all transactions, maintains other records pertaining to them, files required IRS reports, issues client statements, helps clients understand the rules and regulations pertaining to certain prohibited transactions, and performs other administrative duties on behalf of the self-directed IRA owner.

The account owner for all IRAs chooses among the investment options allowed by the IRA custodian. For regular IRAs these options usually include stocksbonds, and mutual funds, but with a self-directed IRA, the term "self-directed" refers to the significantly broader range of alternative investments available to the account owner. IRA custodians are allowed to restrict the types of assets they will handle in addition to Internal Revenue Code (IRC) restriction according to Wikipedia.

Retirement in America is not really talked about. Our country has employees typically put money away in a low risk diversified plan. 

Self directed IRAs on the other hand help someone that wants to get higher returns so for example in real estate. 

The two types I am going to talk about are Roth and Traditional. I Roth IRA you pay taxes up front and then what ever you make on your investments for here on out are not taxed. I do not know how you feel about this but a person that sometimes earns 30 and higher percent returns. This gets me pretty excited about saving. 

The Traditional IRA you delay taxes for a later date. 

Both can be used for all the investments stated in the Wikipedia definition.

Americans need to have retirement and to get on a fast track to do that it makes a lot more sense to invest retirement funds in a safe real estate portfolio that can gain more interest and do it tax free.

There are a lot of IRA money. Supposedly around a trillion in America today that are not making any money. Why...people do not know what to invest in self directed IRAs is because they may not have the experience to invest in Real Estate. 

Make sure you find someone in the real estate world that has a track record and they can prove it by showing you a real estate portfolio. 

Get investigating on ways to grow your money and lower risk and higher yields. Happy Investing.

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