How Can I Buy Real Estate and Other Assets with My Self-Directed IRA?

The ability to purchase Real Estate with your Self-Directed IRA is allowed, and has been for quite some time.

When the IRS established the rules for IRAs in 1975, they declared three basic types of prohibited investments:

 

• Life Insurance
• S Corporations
• Collectibles (Stamps, Artwork, Rugs, Guns, Coins, And Other Personal Property)

The IRS has also established regulations regarding Prohibited Transactions between your IRA and certain people that are classified as a “Disqualified Person”.

Most all other assets are available as IRA investments as long as your IRA Custodian is in agreement.

Your First Priority:
 

• Establish An Account With A Self-Directed IRA Custodian.
• Find An Acceptable Income Producing Property That Meets Your Investment Goals.
• Execute A Purchase Agreement In The Name Of Your IRA According To Your Custodian Requirements.
• Apply for a Non-Recourse Loan with First Western Federal Savings Bank.
• Complete A “Direction Of Investment” Form For Your IRA Custodian Directing Them To Fund Your Purchase With Your IRA Funds.

 

Disclaimer: First Western Federal Savings Bank is not affiliated with any of the listed custodians, administrators, or facilitators nor do we receive compensation to provide you with this information. We are also not responsible for the website content at third-party sites.

First Western Federal Savings Bank and its employees are not accountants, nor are we investment advisors, and we are not qualified to provide advice on IRA rules, regulations or eligibility requirements. Please consult your tax and investment advisors.

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