Guidant Financial Group Blog

In a recent article on MSNBC.com, Bob Cundiff, who was interviewed about taking his IRA as a distribution to pay off expenses that piled up after a lay-off, told the reporter that if his situation were to stabilize he may consider opening a new retirement account, but most likely he would use any extra cash to make real estate investments (See Mortgaging the Future in Desperate Times).

Well, Bob, do we have some great news for you!

You can actually do both!!

Although Bob may be an exception, it is amazing to think about how significant “self-directed IRAs” and “real estate IRAs” have become to this new generation of investors. As more and more account holders experience the uncertainty of the stock market, the more relevant self-directed retirement accounts become to every-day investors.

If you call in and ask any of our consultants or client coordinators what the biggest change has been in our callers during the last year, they will tell you that it’s the questions they ask.

One year ago, the most frequently asked question was “Is this legal?”

Today, the most frequently asked question is “How fast can you set this up?”

For those of you who aren’t sure of the answer to either one of these questions, they are “yes,” and “about 30 days.”

And, for those of you who read the MSNBC.com article about people who have withdrawn money from their IRA or 401(k) to make ends meet during this economic downturn, we would like to share another gem with you:

There are other options.

You can invest in alternative markets to potentially yield a higher return or you can even use the funds from your IRA or 401(k) to start or purchase a business without taking a taxable distribution.

There are alternatives. Call us to find out more.