Posted April 28, 2008 1:08 PMBy John P. Napolitano
Before we go any further, a few words of caution. While most types of IRAs can be converted into self-directed IRAs, the process of setting up one can be cumbersome. Believe me — you’ll want the assistance of a professional adviser to help with the paperwork and thoroughly explain this investment mechanism’s guidelines. Once done, however, you may find that a self-directed IRA provides opportunities for investment that you thought were forbidden in IRAs.
Considered nontraditional retirement accounts, self-directed IRAs are used by investors for a number of investments, with real estate at the top of the list.
By creating a self-directed IRA you can choose whatever you want to invest your money into — from single-family residences to condominiums, apartment complexes or undeveloped land.
