Property Flipping in a Self-Directed Retirement Plan
Flipping properties is a popular and potentially profitable way to invest in real estate.
While a self-directed IRA or Solo 401(k) can participate in flip opportunities, there are several considerations related to IRS rules that need to be understood. This type of investing must be approached strategically, and with a certain degree of caution.
In this series of articles, we’ll cover key topics specifically associated with flipping real estate in a self-directed retirement plan, including the need to keep all activities at arm’s length and the potential tax exposure that can come with any frequency of flipping transactions. We’ll also share tips for executing flip transactions successfully and alternative ways that a self-directed plan can structure involvement into flips so as to eliminate UBTI tax exposure.
Investing in real estate is a great way to diversify your tax-sheltered retirement savings. Real estate is not subject to the same types of news-driven volatility as stocks and provides income both through cash flow and the potential for appreciation. …
Each day we speak with dozens of investors looking to put their retirement plan to work in real estate with the aim of producing better results for their financial future. With a self-directed IRA LLC or Solo 401(k) plan, diversifying…
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Property flipping is one of the more popular investment interests for those considering a self-directed IRA or Solo 401(k) retirement plan. Over the last several years, the opportunity to flip houses at a considerable profit has remained strong in many…
Updated 1/25/2019 Flipping houses can be a very profitable activity. As a result, we speak with many investors each month wanting to use a self-directed IRA or Solo 401(k) for flipping houses. Unfortunately, this strategy often becomes undesirable due to…
As we have discussed in many recent articles, the opportunity to flip houses is strong in many markets. Factors related to the economy, demand from millennial home buyers and lagging new construction indicate this trend will continue even as many…
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In our previous blogs in this series, we introduced the basics of investing your self-directed IRA or 401(k) in flipping property and discussed the first of three options for doing so, using your plan to flip property. In this post,…