Self Directed IRA questions

[Lesley Resnick]

Happy Hump day,

Is anyone using a Self Directed IRA? A number of the investors I work with have been asking to buy RE inside the IRA. Any insight would be helpful. If you are in that business, could you PM me.

Couple of questions:

1. Is it difficult to set up?  Who do you use as an administrator?

2.  Annual cost to keep it going? Admin fees, tax prep, etc

3.  How quickly can transactions be made?  The trustee must sign the offer, etc.

Thanks!

[Dmitriy Fomichenko]

Hello Lesley, yes it is possible to buy real estate with self-directed IRA.

There are few options:

1) Custodial self-directed IRA.

2) Checkbook IRA, allows account holder bypass the custodian/administrator and be able to make investment, pay investment related expenses without using a middle man. 

3) Truly self-directed Solo 401k, custodian is not required, offers checkbook control over your retirement funds, contributions up to $60K, exempt from taxation on leverages real estate and more. But it is not for everyone. Designed for those who are self-employed or own a small business without full time employees.