I wonder if you can use a self directed IRA to do hard money loans?
Bb
YES! burley I thought about your story as a landlord. It reminds me of what my dad always used to say about rentals. He had the same experience as you pretty much, in some cases worse. But had he held on and kept at it, he would have retired in a totally different circumstance. For me I own a disaster cleanup company, which is a big help for me. The other thing is I try to hang out with other property investors. I have a mentor that owns 100 doors, We have real estate clubs in our area that meet and talk about most aspects of property investment. I think there is a couple things I would say about your situation. I have a team of people I use, yes people come and go out of it, but I replace them with others through my connections with other real estate investors. you mention the HVAC guy who ripped you off. YES that is a problem, "I have an old guy who will look at a furnace and say thats a $30 part, don't replace the furnace that one is simple with few parts to break. The new ones have way more parts to break and don't last as long. " I have another company who is my backup that is honest and doesn't try to rip me off. Plumbing is always one of my tuffest trades. So is just a handi man, We have a list of people we call for almost everything. I also have other people from a real estate attorney. 2 different title companies, and my wife is an agent.
the other I would say is idaho until recently hasn't performed like my area has. I think that matters quite a bit. Idaho is an emerging place to live and lots of people are wanting to move there. But its going to come down to the economic situation in that area. Are there jobs to support the people wanting to move to that area? I was in twin falls last month. I love the area, but it looks to be like its a ton of agriculture, which I LOVE, but I dunno about the employment prospects long term in that area. Invest for cash flow, stay in it long term. look for emerging areas to own in, run it like a business. if tenants don't pay by the 7th of the month, they get a 3 day notice to vacate, pay attention to what types of tenants have worked well and which ones haven't, build a real estate team, accountants, lawyers, title, repairman, hang out with others doing the same thing. Thats my tips.
burley if you are interested my mentor brokers hard money. If I had the cash to do those loans he is the only one I would personally work with on it, the last thing you want is a loan like that going sideways!!! He also has info on what you can do with an IRA account like you are asking about. PM me if you would like his contact info, There is no one else I have have learned more from about business short of my dad than this guy.
one edit: I also know a guy selling tenant in common investments for commercial real estate, for someone like you that wants to do no managment, I think its something like a 7% rate of return they offer. They buy commercial property like dollar general, etc pretty solid commercial investments then you buy in as a fractional owner. I have his contact too if you are interested.
