Self-directed IRA real estate investing is not a new concept. What was once considered unconventional by many brokerages, banks, and financial advisors is fast becoming commonplace. However, as these changes have occurred, the concept of self-direction has lost its true meaning. People don’t have the control over their retirement funds that they think they have and this has led to frustrated investors.

IRA real estate investing is not allowed with traditional IRAs. Self-directed IRAs were created to allow people more control over their funds. This helps open new doors to retirement investing, including investments in commercial property, limited liability companies, real estate contracts, and even residential rental properties. Many banks and brokerage firms that offer self-directed IRAs do not allow their clients the freedom that these accounts bring. They limit investment to stocks, mutual funds, and certificates of deposit that have been available for years because of the additional income they generate for their companies. This self-interest does not benefit you or retirement accounts and defeats the purpose of a self-directed account.

For those who understand the real estate market, self-directed IRAs don’t offer them enough control. They want control of the funds in their IRA and want to avoid the high fees associated with self-directed custodians. A more recent evolution in IRA real estate investing and self-directed IRAs is the checkbook IRA.

The IRA checkbook allows investors to directly control the finances of their IRA. If they see an investment opportunity and want to take advantage of it, they don’t have to contact their IRA custodian and deal with company bureaucracy to receive the necessary funds. These investors may simply write the check themselves and sometimes even have debit cards linked to their IRAs.

Checkbook IRAs have the added benefit of being able to move quickly, an essential element of any investment opportunity. No one wants to find a prime real estate opportunity and lose out due to the volumes of paperwork required to liquidate their funds. This type of instant IRA access increases profitability as well as control and opens up new avenues of investment for retirement.

An IRA custodian is still necessary for your IRA account, however, the IRA custodian of an IRA checkbook is honestly run by you, since you handle most of the transactions, the custodian fees are much lower.

IRA checkbooks are the smart investor’s best friend. By gaining more control over his investments, he can control his earnings and move the funds around as he sees fit. No more limited investments, no more paying escrow fees even when he loses money. Take control of your IRA real estate investments and you’re only limited by your imagination.

IRA real estate investing has grown in popularity with the stock market crash. Self-directed IRAs were the first step in allowing investors the opportunity to venture into the real estate market and diversify their portfolios. Checkbook IRAs are the next step on this lucrative journey to give you even more control over your retirement.