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Updated over 3 years ago,

User Stats

5
Posts
1
Votes
Chris Munoz
  • New to Real Estate
  • San Antonio, Tx
1
Votes |
5
Posts

1st Property; HELOC? Roth IRA return of principle? 401k Loan?

Chris Munoz
  • New to Real Estate
  • San Antonio, Tx
Posted

I want to get started in real estate investment. My home is paid off and can easily get a HELOC. I also have a 401K at work I can get up to $50,000 loan. Lastly I have a large Roth IRA from a previous employer I can get liquidity by getting contributions as return of principle. What is your opinion on the best option to get started? If I use one of the loan options then I would refinance as soon as possible and pay off the loans. I'm looking for long term holding of the properties BRRRR.

I was originally looking into moving some IRA money into a self-directed IRA and using that, but it seems so complicated and every transaction has to be carefully made.

I'm going to have to factor in the cost of the extra expenses of a professional tax strategist (CPA) and a property manager (I'm not getting all the late night calls, I'm too busy).  I want this to be a form of retirement income but also want to take every tax advantage I can.

1) What is your opinion on the best option to get started? HELOC, 401k Loan, Roth Principle distribution?

2) There is SO MUCH INFORMATION, where do you suggest I start?

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