ASHEVILLE, NC / ACCESSWIRE / September 25, 2020 / When an investor wants to put a tax lien in a retirement account like a Self-Directed IRA, how does the process work? In order to explore that topic, American IRA, a Self-Directed IRA administration firm based in Asheville, NC, recently released a post dealing with the subject of tax liens held in a retirement account. The post first explored how tax lien investing works, then noted that investing in tax liens is possible with retirement accounts-as long as investors know the rules.
In tax lien investing, retirement investors (those working through a Self-Directed IRA) can use their account to invest in a tax lien. The tax lien can be sold by a local government when a property owner defaults on their tax obligations. The investor then pays for this debt, thereby assuming the lien on the property, and is due the debt payments. However, in many states, the interest that an investor can collect on this lien is then limited so as not to gouge the property owner.
However, even with those limitations, interest rate payments from tax liens can be very high, generating large returns for investors who invest in the right tax liens. In some cases, if the property owner defaults on payment, the investor may be able to assume ownership of the property, making tax lien investing a potential type of property investing.
This makes tax lien investing highly enticing for a wide range of investors, especially those who look to add different types of assets to a retirement strategy. By incorporating tax liens into a retirement portfolio, investors can add diversification. However, it is worth noting that because individual states have different rules on how tax liens work, some homework in advance of making an investment is a good idea.
"This post highlights how tax liens work, but as a Self-Directed IRA administration firm, we act as a custodian, not a financial advisor," said Jim Hitt, CEO of American IRA.
For more information on tax liens, visit the post at www.AmericanIRA.com. Interested parties may also contact the administration firm by dialing 866-7500-IRA.
"About:
American IRA, LLC was established in 2004 by Jim Hitt, CEO in Asheville, NC. The mission of American IRA is to provide the highest level of customer service in the self-directed retirement industry. Jim Hitt and his team have grown the company to over $400 million in assets under administration by educating the public that their Self-Directed IRA account can invest in a variety of assets such as real estate, private lending, limited liability companies, precious metals and much more.
As a Self-Directed IRA administrator, they are a neutral third party. They do not make any recommendations to any person or entity associated with investments of any type (including financial representatives, investment promoters or companies, or employees, agents or representatives associated with these firms). They are not responsible for and are not bound by any statements, representations, warranties or agreements made by any such person or entity and do not provide any recommendation on the quality profitability or reputability of any investment, individual or company. The term "they" refers to American IRA, located in Asheville and Charlotte, NC and Atlanta, GA."
SOURCE: American IRA, LLC
View source version on accesswire.com:
https://www.accesswire.com/605799/American-IRA-Releases-Blog-Post-on-Understanding-Tax-Liens-in-a-Self-Directed-IRA
