Getting Back Into Real Estate – Need Advice on 401(k) Investing

[Brandon O.]

Good afternoon BP family! It's interesting how the things we put into the universe often come full circle. Ten years ago, I created my profile on this platform as a hungry and motivated 28-year-old looking to build wealth through real estate. Life took some unexpected turns, causing me to put my dreams on hold, but now I'm feeling that fire again and ready to get back in the game.

I have limited liquid funds, so I'm considering leveraging one of my 401(k)s to invest in real estate. Specifically, I'm looking to roll it over into a self-directed 401(k) or IRA to gain access and control over my investments. I've received conflicting advice, one recommendation was to roll it into an IRA, which would require setting up an LLC, opening a business account, and linking the IRA to the LLC account. Another suggestion was to go with a self-directed 401(k). Based on my research, the self-directed 401(k) seems like the better option, but I'd love to hear from those who have experience with this strategy.

Has anyone used this approach to invest in real estate? Any insights or advice would be greatly appreciated. Thanks!

[Brett Synicky]

@Brandon O.

Lots of people on this forum have used a checkbook IRA and/or Solo 401k for investing in non-wall street assets. There are lots of threads about this if you search. Learn more about both here:

https://www.biggerpockets.com/member-blogs/2810/blog_posts/2...

https://www.biggerpockets.com/member-blogs/2810/21298-solo-4...