Wednesday, September 12, 2007

Take Charge of Your Retirement Funds

More and more people are using their IRA funds to invest in partnerships, franchises, mortgages and even real estate. You can do this by using what is called a Self-Directed IRA. Only 5% of all IRA are categorized as Self-Directed. What exactly does this mean? A Self-Directed IRA means that you have more control and more options with your money.
Welcome to the world of Self-Directed IRA's.

A Self-Directed IRA will Build Your Net Wealth:
If you have not heard the news already, get ready for some great advice about using your IRA money to make a fortune. This past month one of our Premier Members and entrepreneur, Stacy Miller, 47 of Charlottesville, VA decided to try something new to improve the returns of her retirement account. Rather than putting her IRA money into the latest hot stock or mutual fund that gave her single digit returns, Miller decided to set up a Self-Directed Traditional IRA that allowed her to utilize $100,000 to purchase a luxury high rise condo in a new real estate strategy called a, "Preconstruction Syndicate". After her own research, Miller used PropertyVestors.com to educate herself further on this unique strategy that helps build her net wealth and is projected to return a minimum return on investment of 40% within a two year timeframe.

Ordinarily a positive return on investment would result in a capital gains tax at the time earned. But because Stacy's property was held by her Self-Directed Traditional IRA, her tax will be deferred until she begins taking out distributions years from now. Now can you imagine owing no tax at all? It can happen when you utilize a Self-Directed Roth IRA. That is powerful investing!

Miller is a perfect example of an educated investor that is not only using savvy investing strategies", but is doing so by leveraging her Self-Directed Traditional IRA account. PropertyVestors assisted Miller in this transaction, and is seeing an influx of baby boomers taking advantage of their IRA money to building net wealth. "It is great to see an "Ah ha" moment when someone first learn that she can actually take control over her IRA and can use real estate to diversify investments and grow net wealth. It helps her to obtain financial goals faster than ever thought," say's Shawn Barry with PropertyVestors.

Surprised that the IRS allows this type of transaction? You are not alone. You probably already know that you can buy stock through an IRA at a brokerage firm. But many don't realize that it's perfectly within IRS rules - and actually has been since the code for IRAs was first written in 1974 - to buy real estate and private equities with Self-Directed IRA money. In fact, as long as you watch out for what the IRS calls "prohibited transactions," almost any type of investment is permitted, from a condo to a new business venture - with the exception of collectibles (such as artwork and jewelry), life insurance, and the stock of S-corporations.

So how many people are doing this? Growth in the self-directed IRA business is staggering, with a 30% growth rate last year alone. Why so popular? Investors want true diversification in their retirement account portfolio. "When you don't have confidence in the stock market, it is only natural to turn to real estate as a consistent option for growing net wealth; just keep up with the trends, invest in emerging markets and educate yourself on smart real estate strategies." Barry adds (see article: Is a Major Stock Market Correction Looming?).

After Miller's initial success, she has options to become even more ambitious with her Self Directed IRA by purchasing her first international investment in Tuscany, Italy which PropertyVestors plans to have available by next year. In the meantime, Miller can use her remaining account with PropertyVestors private lending strategy to invest in real estate projects such as foreclosures, rehabs and flip opportunities managed by real estate professionals within the PropertyVestors network. Miller enjoys being a passive real estate investor while earning double-digit returns with each real estate strategy available to her.

What advice do you have for those that want to move forward with a self-directed IRA? "Begin by educating yourself on established companies that will hold your Self-Directed IRA account and will offer the services that you need. I suggest researching Pensco Trust and Guidant Financial. Next create your "team." You need to have at least a tax professional and someone to help you find the investments you are looking to diversify in. PropertyVestors is helping more and more people everyday find the right real estate investment. Finally create a diversified real estate portfolio with strategies that protect you in any market condition" Barry suggests. "You'll be amazed at the real estate options that are available to maximize returns and minimize risk in today's economy. Miller is a great example of one of our members open to new strategies and powerful tools, and will profit greatly".

Build an IRA fortune with Smart Strategies from PropertyVestors
PropertyVestors is an investment group of CEO's, entrepreneurs and savvy real estate investors that are taking active steps to maximize their profits, while minimizing their risk by creating a diversified real estate portfolio. Investors are able to easily apply diversity in real estate geographically and by asset class through its various investment strategies and types of inventory.

Furthermore, PropertyVestors enables investors to capitalize on different market conditions. The strategies that its real estate portfolio specialists discuss are conservative, private lending options; moderate with preconstruction syndication; and aggressive with direct preconstruction purchases in emerging markets, coastal regions and waterfront properties.
With PropertyVestors, you can take advantage of a new model and innovative residential real estate strategies. PropertyVestors’ real estate strategies can position you to take advantage of current market conditions. In addition, it can help you maximize your profits while minimizing your risks.

To learn more about these topics, visit www.propertyvestors.com, sign up with the investment group by becoming a Premier Member for $245.25 annually and receive our eBook: “Capitalizing on Real Estate in Today’s Economy.” For general information about PropertyVestors or its offerings, email invest@propertyvestors.com or call 1-877-90-BUYER.

About the Author
Sarah Barry is the founder of PropertyVestors (http://www.propertyvestors.com/). PropertyVestors is a successful real estate investment group that creates above-market returns at below-market risk. Access to PropertyVestors' three smart real estate strategies enables investors to achieve double- to triple-digit returns on their real estate investments.