self directed IRA to invest in real estate

[Carol Bahou]

hi everyone, does anyone have actual real experience in investing in real estate through self directed IRAs?

[Bill B.]

Don’t forget, if any additional money is required to make a payment because of a vacancy or a squatter, or a tenant refuses to pay or leave. Or to pay for a repair, you can’t provide it, you can’t borrow it, etc etc. You can’t do repairs, you can’t stay there, any violations will be the same as a 100% taxable withdraw. So make sure you have massive reserves. 

This is an alternative for people who don’t have non-retirement funds to invest. Same story when you reach retirement age and have to withdraw the funds. You’ll be forced to lo the property to start taking minimum withdrawls if you don’t have enough cash in the account. Please be careful.