Finding the Funds to Invest in Real Estate

You can find the funds to invest in real estate by using your retirement fund and putting it into a self-directed IRA.

In one of my previous videos, I discussed the seven reasons you should buy an investment property to forge a path of financial independence and perhaps even become a millionaire. 

Since then, I’ve received a lot of great feedback on this topic. One question I keep getting is from people who are interested in investing in real estate but don’t think they have the money to do so. 

Everybody’s circumstances are different, but there are ways you can invest in real estate even if you think you don’t have the means. 

Odds are you have a 401(k), a 403(b) if you’re a teacher, a deferred compensation plan, or an IRA. As I’ve mentioned before, our market has averaged a 6% appreciation every year for the past 30 years, and with a leverage of 20% to 25% and a 6% cash flow based on your rental, you should be able to produce a 30% return per year. 

If you have a child that’s about to attend college, I have a way for you to invest in real estate that I personally use. I recently purchased a home near where my son attends college at UC Riverside using my retirement fund. He shares the rooms with friends and classmates, which produces more than a 6% return annually. 

Using a self-directed IRA gives you total checkbook control.

Find the funds to invest in real estate by using your retirement fund and putting it into a self-directed IRA. This way, you have total checkbook control, you’re not dependent on a company you’re not familiar with, and you have total control over the property. You can also benefit from the tax write-offs that come with owning an investment property. 

If you want to know more about how to set up a self-directed IRA to invest in real estate or you have any other questions, please don’t hesitate to give me a call or send me an email. I’d be happy to speak with you.