Earn safe 12% returns investing your 401K/IRA in first mortgage deeds
Most likely, if you’ve ever asked a bank, CPA, or financial planner if you can use your 401K or IRA money to invest in real estate, they’d say “no”. What they really mean is they don’t know, or that THEY sell stocks and bonds and CD’s, not real estate. Though it has always been legal to invest in real estate through your IRA since it was created in 1974, the idea of re-directing your retirement funds into investments other than stocks, bonds, and mutual funds is still pretty novel to a lot of people. Well, it’s not too good to be true—it’s true.
One of an IRA’s greatest features is that it allows you to enjoy the true power of tax deferred compounding interest. Compound interest occurs when interest is earned on a principal sum along with any accumulated interest on that sum. In other words, you are earning interest not only on your original investment money, but also on the interest earned from the original money.
Compound interest can occur with any investment you make, but the true power of compounding interest is obtained when you make an investment in a tax-deferred environment, like an IRA.
With a tax-deferred IRA, you do not pay tax immediately on your earnings—for example, the sale of a property, rental income on a property. Thus, you are able to get the compounding power on ALL of your profits, not just what is left after taxes. And with the Roth Self-Directed IRA, after five years the money is tax-free for life!
Can you earn tax-free profits investing in real estate notes? Yes, you can. In fact you will earn an astounding 12% rate of return on your money AND your money is backed by residential real estate that never exceeds 70% loan to value of the fair market value of the property.
Here's how it works...
1. We find a property that meets our criteria (sales price is at least 70% of market value minus the cost of repairs)
2. We put the property under contract and deliver earnest money and contract to the title attorney
3. During inspection period, we conduct our due diligence to ensure its a win for us as the buyer and you as the lender
4. Title attorney draws up closing documents including deed, deed of trust and promissory note
5. We close on property in title attorney's office
6. You deliver the funds needed to close the transaction directly to the title attorney and sign required closing documents
7. You receive a deed of trust and promissory note that is recorded at county records building with you as the first mortgage holder with loan terms
8. You collect 12% interest that is paid quarterly until the property is sold or refinanced
To Get The Conversation Started, Please Call Us at 214-446-4432 or Click Here and Tell Us About Yourself and Your Goals
One of an IRA’s greatest features is that it allows you to enjoy the true power of tax deferred compounding interest. Compound interest occurs when interest is earned on a principal sum along with any accumulated interest on that sum. In other words, you are earning interest not only on your original investment money, but also on the interest earned from the original money.
Compound interest can occur with any investment you make, but the true power of compounding interest is obtained when you make an investment in a tax-deferred environment, like an IRA.
With a tax-deferred IRA, you do not pay tax immediately on your earnings—for example, the sale of a property, rental income on a property. Thus, you are able to get the compounding power on ALL of your profits, not just what is left after taxes. And with the Roth Self-Directed IRA, after five years the money is tax-free for life!
Can you earn tax-free profits investing in real estate notes? Yes, you can. In fact you will earn an astounding 12% rate of return on your money AND your money is backed by residential real estate that never exceeds 70% loan to value of the fair market value of the property.
Here's how it works...
1. We find a property that meets our criteria (sales price is at least 70% of market value minus the cost of repairs)
2. We put the property under contract and deliver earnest money and contract to the title attorney
3. During inspection period, we conduct our due diligence to ensure its a win for us as the buyer and you as the lender
4. Title attorney draws up closing documents including deed, deed of trust and promissory note
5. We close on property in title attorney's office
6. You deliver the funds needed to close the transaction directly to the title attorney and sign required closing documents
7. You receive a deed of trust and promissory note that is recorded at county records building with you as the first mortgage holder with loan terms
8. You collect 12% interest that is paid quarterly until the property is sold or refinanced
To Get The Conversation Started, Please Call Us at 214-446-4432 or Click Here and Tell Us About Yourself and Your Goals