Using IRA as source of funds for RE Investing

[Kaygo Haga]

Hello BP family,

I am new to the real estate investing world and to the BP community.

I, like many people am interested in the thought/ possibilities of real estate investing but don't much cash to invest with.

I have been fortunate enough to have started (with the guidance of my parents) an IRA account. However, recently I have heard "specialist/gurus" say that IRA/401ks etc aren't all they are advertised to be when inflation is taken into account.

My question is should I consider taking out my IRA ( and take the hit on penalties) in order to obtain liquid cash to start investing with? Or should I leave my IRA alone and just not contribute to the IRA funds ( I max it out every year) anymore and save up the future capital ( that I would have contributed to my IRA) for investments?

I am fully aware that this is a CPA/ Financial adviser question and that people will hesitate to give advice if it's not in their scope of practice but I figure I'd reach out and ask anyways.

thank  you for taking the time to read this post

Best Regards,

Kaygo

[Jeff Rabinowitz]

Sorry, it wouldn't be. I was thinking of converting from a regular IRA to a SD Roth IRA but failed to state Roth in my first post. That would be a taxable event. It could be good option for someone who was ready to pay the penalties and taxes of a distribution. I corrected my post above.