Recommendations on a good Self Directed IRA.

[Chandler Harker]

Hello. 
I'm starting a new job and I'm looking for a good self-directed IRA so that I can use the money to invest in real estate in the future. Was wondering if anyone had good recommendations on ones that you have used and had success with. I know a lot of them have limitations and rules on what you are allowed to invest in so just trying to avoid that.
Thanks for your help

[Dmitriy Fomichenko]

@Chandler Harker,

Do you have an existing retirement account that you wish to convert to a self-directed IRA, or do you wish to start one from scratch? 

If you don't have a balance to rollover, you will be limited to only $6K/yr in contribution so in this case you'd probably want to build your IRA balance for a few years investing in mutual funds before converting to self-directed, otherwise it will be very difficult to deploy such a small balance.

IRA service providers don't set the rules - IRS does. So as long as the IRA Custodian allows alternative investments such as real estate - the prohibited transaction rules would apply equally to all IRAs. 

There are two options for you to be aware of:

1. If you go with Custodian self-directed IRA - the custodian will hold IRA cash and all assets of the IRA, essentially acting as a middle man between you and your IRA assets so you will have to go through the custodian for each transaction.

2. Checkbook IRA (aka IRA LLC) will allow you to bypass the custodian and literally have a checking account with your IRA funds with direct control.