Real Estate IRA – Don’t Judge a Plot by its Cover

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In the world of retirement investing, it can pay to understand the ebb and flow of the markets that could affect your financial future. Our company strives to keep our finger on the pulse of all matters related to alternative IRA investments, and developments in the real estate industry have highlighted new and interesting angles that self-directed investors may not readily consider. Many investors understand the earning potential of land in a self-directed IRA, but some may only see opportunities to develop property or hold and flip. We have since learned that the value of vacant real estate may lie beneath the surface.

Farmers and ranchers could arguably tout the importance of land better than anyone, but now they’re exploring business ventures beyond crops and livestock. A growing population of agricultural workers is beginning to add real estate to their self-directed IRAs and lease it to other farmers. This could allow them to profit from the always in-demand agricultural industry without having to tend a new set of fields. Vacant land can offer other financial edges depending on geography. Regions conducive to timber, water, minerals, or even oil and natural gas can provide intriguing possibilities for investors looking to gain from transacting mining or extraction rights. As with the agricultural strategy, this approach can yield healthy returns for land owners who won’t have to supply physical labor.

These topics, as well as a rising awareness of non-recourse financing as an option for IRAs, lead us to believe that the real estate IRA field can advance in exciting ways. Although New Direction Trust Company does not provide financial advice or recommend an investment model, we're happy to help you learn more about adding real estate to your IRA. For more information about self-directed retirement or to address any questions or concerns you may have, please feel free to contact us at 877-742-1270 and info@ndtco.com.

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