Reasons to consider Idaho Real Estate to fund IRA's
I have written about this topic in the past but with the unprecedented buyers market we are currently in this topic certainly deserves to be reconsidered.
Unless one has been living in cave the past two years it is obvious that any retirement account funded by stocks or mutual funds has taken a huge beating. Experts are predicting that investment funds could experience a 25 to 30% loss before the fund/stock markets recovered.
Two years ago I was in a real estate class where the instructor spoke about the popularity of real estate to fund Individual Retirement Accounts. The instructor said that in many parts of the country there are companies that specialize strickly in guiding investors in the use of real estate to fund IRA accounts.
Basically your can take funds from an IRA and roll that money into Idaho Real Estate. You can use the funds to buy single family homes, investment real estate such as duplexes, triplexes, etc. and commercial real estate. You can even purchase an interest in an office building.
With Idaho Real Estate values at the lowest level seen in years and still falling we are seeing incredible opportunities for individuals to purchase real estate at near rock bottom prices and place these properties into your IRA. Even if these real estate investments were to double in value in three to five years, those gains would be allowable. It is very doubtful one can experience this upside appreciation in stocks or mutual funds.
In many areas of the Treasure Valley property values have dropped 25% or more and many foreclosures can be purchased at nearly 70% of what they sold for just two to three years ago. Real estate markets are cyclicle and historically have always rebounded. It is very likely that some great fortunes are going to be made by indivuduals that have the funds to purchase bargain priced real estate that is available today. I have heard several people tell me recently they wish they had money to buy real estate today. It makes a lot of sense to investigate the use of IRA funds to purchase investment real estate that has such an strong upside growth potential.
As always, seek legal and tax advice when considering any investment. As I have mentioned above, there are companies that specialize in the use of real estate to fund IRA accounts and will work closely with your, your attorney and or accountant. If you or your attorney or accountant would like the names of two or three of these companies please contact me and will happy to share some valuable information with you.
George A. Tallabas III
Associate Broker