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How To Buy Real Estate In An IRA



A New Way To Sell Houses!


Real Estate Agents looking for a way to sell homes have a new tool for their arsenal: showing clients how to purchase real estate in an IRA.

With the current stock market woes, most homeowners have seen the value of their stock market portfolios drop by 30% or more. And since homeowners already understand the value of investing in a home - and are familiar with the process - it is an easy, receptive idea to pitch.


How To Participate In Today’s Up-And-Coming Market Niche

Investing in real estate through an IRA is poised to be one of the hottest new areas of investment. Why? Because the stock market has tanked and investors have lost confidence! Even with the recent rallies, it will be a long time before investors regain their confidence completely.

And in the meantime, even though real estate is down, it has been proven historically to be a good investment. Plus, with the right properties, some of the rentals can bring enough return that appreciation doesn’t matter. The tax benefits and cash-on-cash ROI is sufficient enough that any appreciation is the icing on the cake.

Here Are Three Reasons Why Using IRA Funds To Purchase Real Estate Makes Sense:
  • The stock market has tanked, and investors have lost confidence! Almost everyone's stock market portfolio is down 30% or more. Buying real estate just makes sense.

  • Real estate prices are dramatically lower than just two years ago, creating tremendous upside through both a higher future resale value (plus any rent you collect in the interim)!

  • There is a tremendous amount of foreclosures and auctions where you can pick up beautiful homes for 20% or less of their value!
By purchasing real estate in their IRAs, clients and prospects are not changing what their retirement plan funds do (building tax-free value for use at some future date); they are simply changing the type of investment in their retirement account (from stocks, bonds, and mutual funds to real estate).

Even if it takes five years for real estate values to get back to where they were two years ago, most prognasticators would probably still bet the account value of a real estate investment will be higher than the same funds held in the stock market. And this spread only improves if you rent the properties!


About Buying Real Estate In An IRA

There are a couple of technical requirements that allow people to purchase real estate in an IRA. Though Real Estate Agents are not financial advisors, they should know the following:
  • Purchasing real estate in an IRA is allowable under the ERISA Act of 1974.

  • Purchasers have to have a separate investment account with the required documentation, plus abide by a few simple rule, namely, that funds in this account cannot be commingled with other funds. In other words, you can't pay for improvements with your personal money, and rent must be deposited into this account. Doing so voids the tax-free benefits of your IRA.

  • Most brokerage houses do not support - and therefore allow - investors to hold real estate in an IRA. Therefore, individuals purchasing real estate in their IRAs must use an approved provider for both their account set-up and documentation. (We have included a list of those vendors below.)
Note: it generally takes about two weeks to set up the required account, transfer/close out an old IRA, and get the funds into the new account.
How To Follow-Through On This Idea

This is a great new way to open up a new marketing niche for yourself. And – it’s EASY! Because the "paperwork" for setting up this program is facilitated for your clients by an outside party, all you have to do is connect the buyers with the company and then find the properties.

Everything else is handled for you! It’s as simple as adding a link on your website and marketing materials to your buyer packages and you've got a new stream of income!

And this is just for the people you already know or who visit your website. Think about the possibilities if you decided to offer seminars on this topic! Or you went to an investor’s meeting with this idea. Or you talked to your CPA’s and Financial Planner’s clients. This is NEWS. And when you have news, it’s worth putting you in front of people – people you would never have had access to before. It can open up whole new worlds in your business.


Sample Lead Generation Ads




How To Get Started
    Step 1: Notify Your Clients & Prospects

    We provide a sample customer letter, plus several text and tile ads for use on your website and marketing materials. Mail the letter to past clients, put the text or tile ads on your website and marketing materials, and/or call your clients and prospects about this hot new idea - and you'll have a steady stream on new business!

    Step 2: Have Your Clients & Prospects Set Up Their Accounts

    Clients and prospects seeing your text or tile ads on your site will click through to a customer-facing page showing the benefits of purchasing real estate in an IRA. This page also includes a listing of some of the companies offering the required account set up and documentation. They can do the account set up and funding while you start looking for properties!

    Step 3: Start Looking For Properties!

    With sales prices and interest rates at record lows, now is the time to buy – there is no denying it.
Get started now - before some other faster-moving agent in your area does - by selecting the free marketing materials that work best for you!




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