Posted by NB(ID) on April 04, 2000 at 20:14:44:
I’m getting ready to do this with my IRA (not a Roth). What happens if we’re sued by a tenant? I’m confused about our protection in an IRA. Do we still want to use things like a Corp or LLC?
Thanx–Angels on your body:)
“ROTH IRA” anybody using this? - Posted by Bill Taylor
Posted by Bill Taylor on April 04, 2000 at 11:56:34:
I am about to transferr our 401K over to this Roth with Mid Ohio anybody have any good things to say about it or negatives that I should know about before jumping into this.Seems like such a good deal at this point especially for flipping and eliminating future taxes all together. Almost to good to be true for us real estate investors.Please if you have one of these already and are doing deals let the rest of us know about it and also about costs involved in doing transactions in the program. Thanks in advance and hi to all.
Re: “ROTH IRA” anybody using this? - Posted by chris
Posted by chris on April 04, 2000 at 13:24:02:
I have looked into doing this in an ira. I know one thing…you CANNOT operate a business out of your ira. you may hold realestate as an investment vehicle but you may not flip.
chris
Re: “ROTH IRA” anybody using this? - Posted by Bud Branstetter
Posted by Bud Branstetter on April 04, 2000 at 23:02:39:
You can own a business with funds from your IRA. Like an LLC that buys and sells RE. There are restrictions on what percentage you can own depending on if you or relatives operate the business. What some may call a business from flipping is an investment to others. There is not a real problem to simultaneously do from the IRA.
Re: “ROTH IRA” anybody using this? - Posted by phil fernandez
Posted by phil fernandez on April 04, 2000 at 16:17:32:
I could be wrong here and I’m certainly not an expert on Roth IRA’s, but I think I read somewhere that you can buy and sell property out of your IRA. This would include flipping.
Anyone else.
Re: “ROTH IRA” anybody using this? - Posted by chris
Posted by chris on April 04, 2000 at 16:36:17:
I have heard the same thing as you Phil. A call to Mid Ohio should clear this up.
-Chris(different one than you replied to,sure are a lot of us on the board;-)
Thats the stuff i wanted to hear! - Posted by Bill Taylor
Posted by Bill Taylor on April 04, 2000 at 18:09:54:
Those thoughts are just the things I wanted to find out about. Icalled Mid-Ohio today thye said I could do L/O in the account but I could not obligate the account on a mortgage. Nothing was said about not being able to flip deals in this acct. Nothing at all.
I’m doing one as we speak… - Posted by CarolFL
Posted by CarolFL on April 04, 2000 at 19:08:11:
Bill, When I left my former employer, I had sone $$ in a 401K. I rolled it into a regular IRA, and then converted to a Roth (all in one week between cmas and new year’s.)
My Roth now has a contract on a HUD deal. It will either do a simultaneous close and a pure flip, or it will borrow non-recourse funds to close, and either repair or wholesale.
The folks at Mid Oh have been MOST helpful … have kept me out of trouble so far … and have told me exactly what to do and what NOT to do.
If you have any questions, email me… this is the neatest thing since sliced bread!
You and I are too old to &art around with 2k at a whack… we’d have to live to be 150 to have it amount to anything! But this way the puppy can grow by leaps and bounds and become a meaningful part of a retirement program.
See ya,
Carol