Getting money out of IRA into RE or other safer investments

Real Estate Investing Real Estate Financing
1

Not sure about the forums I should use for this.

I am over 70 and have IRA with a nice principal now. I know the markets are soon going to make a downturn. In 2008 the value of the IRA went to about 40% of the current value and it has taken all this time to get back to where it was before. I am compelled to take distributions, but there is no way those distributions will be enough soon enough preserve the value of the IRA.

The IRA management company is non-committal and not helpful at all, since I want to move the money into something safer (out of the markets).

I would just appreciate to learn how to move out of the stock markets with the IRA principal, without giving most of it to the government.

Real Estate has always been good for me. Maybe there is a way I can transfer into real estate investment with the IRA and not lose alot of the value. If this is not possible I will probably just have to take it the hard way to get what I can out of the markets.

I would appreciate to read any thoughts on this, or referrals to other places for related information. I definitely don’t want to go into precious metals, maybe fixed return interest bearing investments are the best choice.

I would prefer to make my own investments in real estate, in lieu of buying into are real estate investment trust or taking a minority position in RE ownership. In other words, I would prefer to invest in properties I can purchase for cash or some owner finance without any partners.

My priority at this time is to get the money out of the markets, ASAP.

Any suggestions, referrals or pointers I will appreciate very much.

2

You need to switch custodians to one that will allow investment in real estate. Most custodians limit investments to securities, but the only prohibited investments in an IRA are collectibles and insurance. So, real estate is definitely fair game. The problem is, most large custodians won’t offer real estate as an option because they are not real estate brokers and don’t get a commission on the transaction or the management of the asset (as in the case of a mutual fund).

IRAServices.com and newdirectionira.com and two good custodians I recommend. My personal IRAs are with the latter.

You might consider doing a “checkbook” IRA, that is, an LLC owned by your IRA that allows you to invest with the LLC and have complete control over the assets and funds.