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Are Self-Directed IRAs for Real Estate a Good Idea? Maybe Not (Part 1)

June 7, 2022

Are Self-Directed IRAs for Real Estate a Good Idea? Maybe Not (Part 1)

Keeping real estate in a self-directed IRA may seem like a smart move.

But beware of the possible consequences!

To get my complete article
with all the details…

Yes. Holding real estate in your self-directed IRA does have advantages. For example, it diversifies your retirement investments…but watch out!

This IRA strategy can come at a hefty price.

For example, you could lose valuable real-estate tax deductions and fall victim to…

The crippling “prohibited transaction” rules.

Owning real estate in a self-directed IRA is very different from owning it any other way.

This is because you and your self-directed IRA must be kept totally separate. Always remember…

Self-dealing is not allowed!

To avoid self-dealing, your self-directed IRA can’t do business with any of:

       7 categories of disqualified persons

None of these people can engage in:

       3 prohibited activities

Breaking the prohibited transaction rules can have:

       10 serious consequences

As you can see, holding real estate in your self-directed IRA comes with real risks.

My advice? Don’t take them without…

CLICKING HERE to get my complete article…

“Are Self-Directed IRAs for Real Estate
a Good Idea? Maybe Not (Part 1)

Filed Under: Capital Gains, Featured Articles, Retirement, Tax Planning, Tax Policy

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