Contribute to Roth or Save for REI?

[Austin Montgomery]

Do you still contribute to your Roth IRA even though you can get better returns on real estate?

I have maxed out my Roth IRA for the last 3 years. This year, I have the money to max it out again, but I don't know if I'd rather keep it liquid for the next real estate deal that may come along. I have 4 SFRs and a strip mall that I've bought in the last 18 months. And I'm getting better returns on real estate than I am in my IRA, but I don't know if getting that 6k in a tax-advantaged account now is a better long-term investment.

I've toyed with the idea of a self-directed IRA, but with only 20k in there, it doesn't really seem worth it yet.

Thoughts?