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Avoiding Pitfalls & Maximizing Returns: The Ultimate Guide to Self-Directed IRAs
The Remote Investor
40 minutes 28 seconds
2 months ago
Avoiding Pitfalls & Maximizing Returns: The Ultimate Guide to Self-Directed IRAs
Kaaren Hall, founder of UDirect Self-Directed IRA Services, walks through the benefits and complexities of Self-Directed IRAs (SDIRAs) for investors who want to diversify retirement accounts beyond stocks and bonds. In this episode Kaaren explains what types of real estate assets SDIRAs can hold, from raw land to real estate syndications, and why thorough due diligence is essential before committing funds.
Kaaren breaks down important tax considerations, including the UDFI (Unrelated Debt Financed Income) tax, which can apply when an IRA earns profit as a result of leverage. She stresses the importance of working with tax professionals to understand UDFI and other tax impacts on SDIRA investments. Kaaren also outlines typical costs to expect when employing this strategy.
Finally, Kaaren emphasizes the need for careful research and consultation to avoid prohibited transactions and to position SDIRA investments to maximize returns while remaining compliant. This episode offers practical guidance straight from an SDIRA service founder.
Reach out to Kaaren's team for a list of list of nonrecourse lenders: cinfo@udirectira.com
Learn more about Kaaren's services at: https://udirectira.com/
This episode is brought to you by: https://www.boldstreet.ai/