Hi there - one more thing, Coach! During Covid, I have been interested in learning more about real estate investing and have been literally devouring your podcast daily - there is so much great information! I'm trying to take your advice about getting started without allowing myself to become overwhelmed and enter analysis paralysis! As someone approaching retirement (59 - yes, some of us are late bloomers!), I'm not going to be able to retire early if I just get started investing in real estate now, but I found this self-directed IRA topic extremely informative for diversification and I'm now researching that angle. What I would love to hear from you in a future podcast is an interview with someone who got a really LATE start on the investment side who has some strategies to share for those approaching retirement - at the traditional retirement age - say 65-70. I'm very curious about whether the self-directed IRA move to help finance a property through another investor is a smarter choice than getting into investment properties directly on my own. Hearing from someone who has navigated that space at a later age would be really helpful! Thank you so much for sharing such great advice and wisdom through all your channels!
That's a wonderful topic suggestion, Heidi. Thank you. I have noted it and will look for someone i can interview with that experience. Sean's email is sean@americanira.com. He is very helpful.
I am still a little confused. If I make my 401k to a Self Directed IRA can my Self Directed IRA loan to my Real Estate LLC? I don't want my IRA to own the property because I won't be able to get any cashflow from it.
OK...I bought a duplex with my SDIRA about 10 years ago. Now I'm 65...how do I get this out of the IRA without paying a big chunk of tax? Can I do something with a 1031 exchange? Thanks, for any ideas.
When selling a property that your IRA has owned for 10 years you will typically only incur a tax consequence if the property still has a mortgage on it when sold. If that is the case and you are looking to simply move the equity to a different property, a 1031 could be a useful tool. Do you mind me asking why you are looking to sell the duplex? Thanks for listening!
@@seanmckay9194 Sorry it's actually only a unit of a 4 plex. And I don't want to sell it, I bought it cash without a mortgage. But don't I have to start withdrawing from the IRA once I hit 70 or something like that? How do I get it out of the IRA?
Tina, if you don't have a mortgage you could sell the property and the sales proceeds would just go into your IRA account (NOT back to you personally). There would be no tax on that sale. Then you could take out the cash you need each year for the RMD (required minimum distribution). But could you also figure out how much your RMD would be? Perhaps the rent will be enough to cover that? For example, if RMD is 5% of your property's value ($100,000) and you get $5,000 in net rent per year, couldn't you just use the rent as your RMD? The problem, I guess, would be if you don't get enough rent. In that case, do you have any other cash or other investments in your IRA other than this property that you could take out?
Coach, I'm M.K in your recent course. I'll post there to, but I currently have one home in a SDIRA, Roth. We just set one up for my wife, transferred funds into it and are in the process of buying a home in her account. I sent an email to you. I hope you can take us up on that request. Thank you!
Hi Coach - great podcast! I went to the American IRA website and downloaded the Guide to Self-Directed IRAs. I think you mentioned that you would share Sean's email address in the show notes, but I don't see it. Are you able to share? I would love to discuss my situation with him and consider this move. Thank you!
Great video Chad, and very interesting topic. I heard about this from one of your other podcasts and reached out to Sean a while ago (referencing you of course). I understand that they aren't allowed to match people with such IRA's with those of us who want to borrow. Is there any way to find people that are looking to lend against their IRA's? If so, maybe another topic for a video podcast sometime soon? I look forward to your videos each week and am enjoying your Property Analysis course happening now - learning a lot !
Hey Ian. Thanks for watching. Yes, it's true they are not allowed to be match maker. They just facilitate the transaction paperwork once the match has been made. My experience has been talking to people you already know and networking. The approach is to first get to know people - mainly at my local REIA group or other investor meetups. You find people you are comfortable with and eventually discuss doing business together. It's a slower approach than just walking into a bank, but it's been effective to meet good long-term lending relationships.
Hi there - one more thing, Coach! During Covid, I have been interested in learning more about real estate investing and have been literally devouring your podcast daily - there is so much great information! I'm trying to take your advice about getting started without allowing myself to become overwhelmed and enter analysis paralysis! As someone approaching retirement (59 - yes, some of us are late bloomers!), I'm not going to be able to retire early if I just get started investing in real estate now, but I found this self-directed IRA topic extremely informative for diversification and I'm now researching that angle. What I would love to hear from you in a future podcast is an interview with someone who got a really LATE start on the investment side who has some strategies to share for those approaching retirement - at the traditional retirement age - say 65-70. I'm very curious about whether the self-directed IRA move to help finance a property through another investor is a smarter choice than getting into investment properties directly on my own. Hearing from someone who has navigated that space at a later age would be really helpful! Thank you so much for sharing such great advice and wisdom through all your channels!
That's a wonderful topic suggestion, Heidi. Thank you. I have noted it and will look for someone i can interview with that experience. Sean's email is sean@americanira.com. He is very helpful.
I am still a little confused. If I make my 401k to a Self Directed IRA can my Self Directed IRA loan to my Real Estate LLC? I don't want my IRA to own the property because I won't be able to get any cashflow from it.
Great info Coach. Though about using my IRA but never knew about using other people's IRA. Thanks Coach and Sean.
Yeah, other people's IRAs are the big opportinity. Good luck!
OK...I bought a duplex with my SDIRA about 10 years ago. Now I'm 65...how do I get this out of the IRA without paying a big chunk of tax? Can I do something with a 1031 exchange? Thanks, for any ideas.
When selling a property that your IRA has owned for 10 years you will typically only incur a tax consequence if the property still has a mortgage on it when sold. If that is the case and you are looking to simply move the equity to a different property, a 1031 could be a useful tool. Do you mind me asking why you are looking to sell the duplex? Thanks for listening!
@@seanmckay9194 Sorry it's actually only a unit of a 4 plex. And I don't want to sell it, I bought it cash without a mortgage. But don't I have to start withdrawing from the IRA once I hit 70 or something like that? How do I get it out of the IRA?
Tina, if you don't have a mortgage you could sell the property and the sales proceeds would just go into your IRA account (NOT back to you personally). There would be no tax on that sale. Then you could take out the cash you need each year for the RMD (required minimum distribution).
But could you also figure out how much your RMD would be? Perhaps the rent will be enough to cover that? For example, if RMD is 5% of your property's value ($100,000) and you get $5,000 in net rent per year, couldn't you just use the rent as your RMD? The problem, I guess, would be if you don't get enough rent. In that case, do you have any other cash or other investments in your IRA other than this property that you could take out?
Coach, I'm M.K in your recent course. I'll post there to, but I currently have one home in a SDIRA, Roth. We just set one up for my wife, transferred funds into it and are in the process of buying a home in her account. I sent an email to you. I hope you can take us up on that request. Thank you!
Awesome and timely for me Coach!
Glad to hear it, Sam! Good luck.
Hi Coach - great podcast! I went to the American IRA website and downloaded the Guide to Self-Directed IRAs. I think you mentioned that you would share Sean's email address in the show notes, but I don't see it. Are you able to share? I would love to discuss my situation with him and consider this move. Thank you!
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Great video Chad, and very interesting topic. I heard about this from one of your other podcasts and reached out to Sean a while ago (referencing you of course). I understand that they aren't allowed to match people with such IRA's with those of us who want to borrow. Is there any way to find people that are looking to lend against their IRA's? If so, maybe another topic for a video podcast sometime soon? I look forward to your videos each week and am enjoying your Property Analysis course happening now - learning a lot !
Hey Ian. Thanks for watching. Yes, it's true they are not allowed to be match maker. They just facilitate the transaction paperwork once the match has been made. My experience has been talking to people you already know and networking. The approach is to first get to know people - mainly at my local REIA group or other investor meetups. You find people you are comfortable with and eventually discuss doing business together. It's a slower approach than just walking into a bank, but it's been effective to meet good long-term lending relationships.
Great content, Coach. What do you use as a proof of funds when making an offer using someone’s IRA?
I usually had a letter from the IRA owner and a copy of his IRA statement (with account # crossed out)
Great interview, thank you Coach!
Glad you enjoyed it!