What is a self-directed IRA? And why would you need one?
A self-directed IRA allows you to invest in alternative investments including real estate, notes, private placements, tax lien certificates, precious metals, and more.
Self-direction simply means that you choose what to invest in—you are not limited to the selected offerings of an investment firm. With an IRA Innovations self-directed IRA, you can invest in real estate, businesses, stocks, and more.
What are the benefits of a self-directed IRA?
The largest benefit of a self-directed IRA or real estate IRA is that you can invest in what you know.
Combining the tax advantages of a retirement account with access to a larger range of investment choices offered by a self-directed IRA can help you build more wealth for your retirement.
With a self-directed IRA, you choose your investments, such as homes, apartments, raw land, co-ops, condos, and commercial property and more. A self-directed IRA enables you to invest in what you know best.
Why it’s worth it
There are quite a few reasons why having a self-directed IRA can make sense:
- If you’ve been working for a while, you may have most of your life savings locked up in a retirement account. As a result, if you want to take advantage of an opportunity to make a large investment in something unusual, your IRA will often be your best source of money to make your investment.
- You may see more profit potential in a private investment than stock public companies offer. Using your IRA to make an early investment in a promising business can give you a huge payoff if it proves successful.
- If you want to invest in real estate, it’s hard to find stocks that give you the same type of exposure that owning a particular property gives you.
- The same idea holds true for other investments. The opportunity to invest in a franchise business is much different from owning shares of a company. Investment in shares of a miner won’t have the same returns as owning actual gold and silver bullion coins.
What it boils down to is that if you have a lot of money in an IRA and want to expand your investments beyond ordinary securities, a self-directed IRA can help you do what you want with your money.
Call IRA Innovations at (205) 985-0860 and get started on your self-directed IRA today.
We are never in conflict with your investment decisions because we do not endorse or sell any investment products.