Instead, he can put his money in an index fund, such as the SPX (S&P 500), especially now that it is down due to the Greek crisis and (less so due to) China's stock market collapse.  

I started investing in a set it and forget it type stock/index portfolio and it has done well.

If they are looking to or already have retired and are going to put the money into a CD or stocks and they own it outright its worth a visit.

They are way interesting and really get you stocked about investing in real estate!

So you are dead on with the first part and solid strategies.

The IRA money is what it is, and is treated differently than after-tax money in all investment scenarios both in and out of the stock market.

house hacking is a great way to start...You keep a close eye on your tenant, you live mortgage free, someone else subsidizes your equity position, and you get a second rental when you decide to move on to a new house.Also you in theory get to stock pile your cash you would have paid in rent/mortgage.

Do you stop investing in a 401k because the stock market is near the highest it has ever been?

. $3900 for a house is not that uncommon. i bought a 1 bedroom, one bath house for $500 one time. yes, thats right, $500. the city had taken it for back taxes, both owners were dead, and the kids did not want the place, so they let it go for back taxes. i bought it from the city for $500 and put about $5000 into it. rentedi t out for many years, then sold it for $10,000. i have bought a house for $1700 thru a back tax deal and another for $4100 thru a back tax deal. cheap deals are out there people, you just have to look for them. good luck with your plan and keep us posted

This afternoon my wife and I have a meeting with the  financial adviser who manages our stock and bond portfolios, and one of the key areas of discussion (for us) will be use of self-directed Roth IRAs.