Here’s some helpful advice about using your IRA to buy real estate.
I just finished a Zoom meeting with a client who had some questions about my previous video and blog about using an IRA to buy a home. This person was wondering if they could use their IRA as part of their down payment on a new primary residence.
The short answer is they couldn’t because you can only use your IRA to buy an investment property. You can’t leverage any other money into it. The inspection, electric bill, and any other costs must be funded by your IRA. Everything that gets made from the property has to go right back into the IRA.
“Reach out to me to get a copy of the flier.”
One client who is using this technique has an ATM card that draws from their IRA funds to pay for the inspection, appraisal, and any repairs that need to be done around the house. All of those expenses have to be paid from the IRA funds. The rent the tenant pays will go back into the IRA account, where it can be reinvested into stocks or other assets.
I have a little flier that explains some options that you have. I’d be happy to share it with you; just reach out to me today.
If you have any other real estate-related questions, don’t hesitate to call or email me. I look forward to hearing from you soon.