Tuesday, October 5, 2010

Part 2: Where is the Money?

Where is the money for my next deal?  What about a self-directed IRA?  If you are like most people, when you first heard of a self-directed IRA, you probably thought it was a scam.  With one exception (who is a real estate investor), I don’t know any financial planners that know about it or recommend it.  It doesn’t take a rocket scientist to figure out why, but let’s talk about what it is.


A traditional IRA is an individual retirement account that invests in stocks, bonds, mutual funds, and CDs.  A self-directed IRA invests in these investment resources in addition to real estate, notes, private placements, tax liens, or private businesses without transaction, holding, or asset-based fees.  So you can know transfer money you have stocked away in Roth IRA into a self-directed IRA to buy up rental properties and act as your own IRA broker/custodian—who knew?

Caution, self-directed IRAs are not for everyone.  For the investor who wants to create wealth using his or her knowledge outside of stocks, bonds, and CDs, this is definitely an option.

You can learn more from regular webinars through Equity Trust Company.  Just visit them at www.trustetc.com

For more information on investing in real estate,  please visit www.memphiscashflow.com or email me at

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