I like to teach people how to buy bank repo houses using their IRA. Gaur Siddhartham Ready to Move Flats Siddharth Vihar Ghaziabad, In the recent market, buying property with IRA money is a win/win investment. You buy a property for but you do not sell the property. Fix it up, if needed, and then turn around and sell it for . That’s a pretty nice profit.
Let’s say that someone has credit bruises and they can not buy the property through conventional means. I am going to be Christmas in July because I am going to make you a home owner. You desperately want to own a home but you do not know how to make it happen because of your credit. What I do is I buy the house than I sell to some for and charge him six, seven percent interest. Aspire Leisure Park by Gaurs / Aspire Centurian Park by Gaurs / Trecento Residences by Gaurs / Gaur Siddhartham Ghaziabad flats.
There will be a thirty year mortgage on this thing. I am spending . If you do the math on this, think about what the mortgage payment would be to him for 30 years at seven percent interest. Gaur Siddhartham Ready to Move Flats Siddharth Vihar Ghaziabad, He did probably buy it at seven percent if he can not buy a house any other way. He has taxes and this is a mortgage, not a real estate land contract or rent. He’s getting a deed and I am taking a mortgage and a promissory note back. I am the bank. He starts making payments to me whatever payments are on house, let’s say that’s around a month. With this example, I am getting in my IRA every year!
Granted it’s going to take me 10 or 11 years to get my money back into my IRA but what about the next 20 years? Think about for your retirement and long term investing. Think about the cash flow coming into your retirement. How many houses do you want to put in your retirement like that? Let’s say you elect to give your kids your retirement account, and you pass away. You give it to the kids then they have to pay taxes. In this case let’s say the money is tax deferred. Sooner or later the government’s going to get their piece but the kids have five years to pay the taxes. Gaur Siddhartham Ready to Move Flats Siddharth Vihar Ghaziabad, So the tax hit on this property. Well, they have got five years to pay it and the income coming into this thing is a year, three years they have got the taxes paid! Then after that they have got the cash flow. I just think it’s a sweet deal.
Does not that idea just make your brain bigger? So I mean I do not want that to happen. I look for win/wins. Gaur Siddhartham Ready to Move Flats Siddharth Vihar Ghaziabad, I want the client to stay in the house for 30 years and become a homeowner. But sometimes a job change or other twists in the plot of life come up. Somebody else, who is into flipping houses for profit, comes along and they buy it, I fix it, go start all over again.
Maybe a year from now or whatever or maybe you have a house to sell right away. This is a way you can sell your property. That is why I created that concept so you can sell your property to somebody else. Teach someone with an IRA rather than your private lender. Teach them how to physically buy your house and then do just what I described here using him as an example. I think it’s a cool way to grow your IRA. Now using this scenario, do you think that IRA holder would be happy with that house and that cash flow? What happens if he pays me for eight years and I have got upwards of what or close to it. Lt’s say for an example he does not pay. Foreclose? Take it back out to you to again.