All Forum Posts by: Terry Royce

Tom hit the nail on the head.

If you live in a more urban area, I like to drive the alleys. I find the rear of houses to be more run down than the fronts.

I currently have a property that the owner will not allow me free access to, even though it is in our contract. I don't want to make it a sticking point, at this point in the contract and lose repoir w the seller, because I think it will be an easy deal to sell, except for having the seller there when I'm showing buyers.

How does everyone deal with these types of Sellers, who refuse to give access?

I've read conflicting items about withdrawing initial contribution amounts, from a ROTH IRA. Some things stating after a certain time period, and some things stating anytime you just can't take out the growth without paying the 10% penalty.

If I can create the ROTH IRA and pull out contributions, I would be ok with that. That would provide the best of both worlds :)

Can anyone clarify this, or provide more info.

Thanks for all the posts above!

@ - Alan Mackenthun , the taxes would be exempt in a ROTH IRA though because you pay taxes on the contributions before they go in. A 401k goes in pre-tax and gets taxed on the back end, if I am not mistaken.

I'm surprised someone hasn't bluntly said consult a financial planner or CPA, however, I feel like many of those folks are "selling" you on the benefits of a retirement plan, because it is how they get paid!

@ Jeff S - My concern for lack of access to the money, and thinking that it's a bad thing isn't based on wanting to spend or splurge it, but based on the fact that doing the self directed route and purchasing rentals with it would not give me access to the rental income, only access to it to purchase other properties/re-invest into the SD IRA. So if I start increasing volume on rentals and/or rehabs, I will be just stuffing my retirement account, while not creating an available income stream to live off of. As I mentioned, I'm aware you can partner on the deed with your IRA, but also the cost of setting up a SD IRA through a trustee is around 2k I believe, which with not having a pre-existing fund to roll into is a huge portion.

I would think that for a casual investor, who still is employed by a company, the SD IRA would be a great advantage to buying cash/hard money especially if they have been investing into their IRA/401k for a while, and don't plan on quitting their job to do RE full time.

Believe, me I love the tax deferred concept, but again as far as creating accessible income streams, I'm just having trouble seeing the advantages.

Currently I do not have any IRA / 401k, and I have been looking at starting and depositing into one before tax day deadline for 2011.
I have previously just bought stocks and/or mutual funds

However, the more I think about it, the more I'm not so sure about having a IRA/401k.

I was planning on rolling it over into a self directed IRA in a year or two to purchase investment properties, however, the long term lack of access to the cash really is starting to bother me, and I'm thinking that even though I will not have the tax shielding from the retirement plan, having the flexibility and access to money for investments or business opportunities will provide more chance for growth.

What are the arguments for and against having 401k/IRA from the professionals here, and those with experience in these.

Thanks

Alison, which VA service are you using for the answering service? I have looked for an answering service for sometime, but have considered VA's. Please send any recommendations. Thanks.

Great response Nathan.

Michael, the seller stated he was in contract with the wholesaler?

OK, thanks Josh.
It was in the 80's, then went to the 20's and then went back up to 85 and then 86 and then 88.

Im hoping I can make it out there, looking into car rental/flights.
It looks like there is no subway/lightrail from the airport?