Has the time finally arrived? Is the long awaited shift finally happening? Is there really a buyer’s market on the horizon?
Ellen Paris, a contributor for Forbes, reports on a recent study by Trulia that yes, a shift is happening in the real estate market. It seems that homes are taking longer to sell, and at the same time, those homes are experiencing an increase in price cuts that result in a final sale below the listing price. Paris confirms, “that the overdue shift is finally becoming a reality.”
“Most of the markets we are seeing cooling are clustered on the west coast like Seattle, San Jose, and Los Angeles, “notes Trulia’s Chief Economist Issi Romem. “When we dove into specific zip codes in more expensive neighborhoods, you can see the shift towards buyers even more.” Romem adds.
On top of that, based off of Trulia’s data crunching, there is some definite good news showing fifty major metros are experiencing signs of shifting to favor buyers. “That’s up from a paltry five metros a year ago,” Paris states.
Some of the 100 largest metro areas showing signs of the shift include: Las Vegas, Silicon Valley, San Jose-Sunnyvale-Santa Clara, Los Angeles and Seattle to name a few.
With a buyer’s market fast approaching, interest loans lower than ever, and the uncertainty of the stock market (can it really continue to soar?) now, more than ever, is the right time to invest in real estate. At Lasaii Benefits, we offer the perfect alternative investment of using your IRA to help purchase real estate that you and your family can immediately occupy!
A Better Way To Invest In IRA Real Estate
Since 1992, our company has been assisting clients in structuring IRAs or other qualified retirement funds to support the purchase of Real Estate. This method secures your retirement funds in a SAFE HARBOR®-Directed IRA™ (SHIRA™) to support the Real Estate investment of your choice with the benefit of immediate occupancy and/or to create income. Especially in today’s age, with companies such as Airbnb and VRBO, there is no reason why you shouldn’t be able to use your IRA to purchase real estate that you can occupy yourself AND rent out to make money, if you wish.
The benefits of using the SAFE HARBOR®-Directed IRA™:
Choices
The SAFE HARBOR®-Directed IRA™ can help you buy a primary residence, a second home, a vacation/rental/investment property, or land on which to build. You can also use the SHIRA™ to fund payments for an existing mortgage and property taxes up to allowable by law.
Flexibility
If you sell one property supported by your SAFE HARBOR®-Directed IRA™, you can restructure your SHIRA™ to fund a new property. You can buy in the US and/or overseas, if you qualify. You can mix SHIRA™ and non-SHIRA™ funds to buy property or properties. You can buy real estate as an individual or with partners.
Immediate Occupancy & Enjoyment
The real estate is titled in your name-not in the name of your IRA- therefore, there are no prohibited transactions! So, you and your family can occupy and enjoy your home immediately. You can use the property as a primary residence, a vacation home, a rental property, or simply keep it as an investment. The choice is yours.
Possible Appreciation of Real Estate
If you choose to support the purchase of real estate with a SAFE HARBOR®-Directed IRA™, then you will be allowed to occupy and enjoy the property while it increases in value over time.
Rental Income
Any net rental income goes directly to the individual and not to the IRA. It is yours to use as you wish.
Tax Savings
If you qualify, you can enjoy all the tax benefits associated with real estate ownership.
Step Up In Basis/1031 Exchange
The real estate you purchase through a SAFE HARBOR®-Directed IRA™ can be passed at death to your heirs with a “step up in basis.” This means there will be tax savings on any appreciation accumulated. At death, a 1031 Exchange can also be passed to your heirs as a “step up in basis.”
Required Minimum Distributions (RMD)
If you have savings in a tax-deferred retirement account, such as a 401K or a Traditional IRA, you’re required to being taking distributions (withdrawals) from your account after you reach age 70.5. Your SAFE HARBOR®-Directed IRA™ distributions (withdrawals) that are paying for the real estate, loan payments, and property taxes are counted (credited) towards the RMD end of the year calculations.
What about that little pest of Debt-to-Income Ratio?
No problem! Our SAFE HARBOR®-Directed IRA™ can supplement the income needed to qualify for the loan to purchase the real estate. (*Must have fair-excellent credit score). To read about a real case study featuring one of our clients and how we helped her beat DTI ratio and purchase her dream home, read:
The Perfect Alternative Investment
With the potential interest earnings of the SHIRA™, possible appreciation of the real estate, rental income (if you wish), and the intrinsic value of occupancy, together with the tax write-offs, if you qualify, the total value and benefit of both the SHIRA™ and the real estate could be, and has been, in the double digits. In other words, the perfect alternative investment.
We specialize in helping clients structure customized, tax effective IRA real estate investments that enhance their portfolios, lifestyles, market positions, and legacies.
Please share this with friends and family that could benefit from our proprietary IRA real estate structure!
Visit www.lasaiibenefits.com to sign up to receive our “Understanding the SAFE HARBOR®-Directed IRA™” PDF brochure to learn more. You may also visit our website to see if you qualify for our program.
Source:
Paris, Ellen. “Trulia Reports Shifting Markets for Home Buyers.” Forbes . 30 April 2019