The traditional answer to this question is 'no'. However, the following web site suggests that they can help you do it through some complex financial arrangement. What is the down side?
http://www.urangafinancial.com/
2007-11-08 15:02:21 · 2 answers · asked by Skeptic 7 in Business & Finance ➔ Personal Finance
Investing some of your IRA into real estate does make good sense.
It is legal, by current IRS rules, to invest your IRA in real estate provided certain rules are followed. Their INSIDE™ plan appears to be well within IRA rules. Their OUTSIDE™ plan is creative. I would be concerned that the IRS would rule against it and I'd have to pay penalties for participating in it. This could be cleared up by having them get (and pay for) a IRS "letter ruling" on the legality of the plan.
Since they have a $100K minimum, and since you should never invest more than 5% of your account into a single item, you should have at least $2M in your IRA before even considering this.
Their 4% fee for setting up these plans seems high, but If you really think the return is going to be much better than a REIT it might be worth it.
2007-11-08 21:35:33 · answer #1 · answered by Thinker 7 · 0⤊ 0⤋
you can generally get a liberal amount of the annuity funds free of penalty, e. ... safe" money earmarked for a home, retirement, kids college tuition, etc.
2007-11-11 14:01:33 · answer #2 · answered by Patricia F 1 · 0⤊ 0⤋