All Forum Posts by: Edward Synicky

Hi Benjamin, we could fill pages of comments on this very important subject. Start off by reading Rich Dad Poor Dad, The Millionaire Next Door and then The Millionaire Investor, all of these are best sellers and easy to find at your local library. The most important thing at this stage is for you not to get mislead by someone out to line their own pockets, not yours. If you are discussing this or other issues do not take the advise of someone who has not already been successful. So many people listen to the first person that reaches them when this person may not even own a single property, but boy do they have a program for you to purchase that will make you an instant multi millionaire. Do your due diligence. Read these books and I would be glad to talk with you to make sure you get started on the correct footing.

I have received conflicting information and would like some BP input. I have been told that you can carry a loss back two years on an amended Federal 1040 and recover previously paid tax, but the same loss on your California taxes can not be carried back and is just lost forever. Can someone elaborate for me, thanks

John,

If you run a business in your IRA you will have tax issues, if you use non recourse loans in your IRA you will have tax issues. In some cases these issues are mitigated in a solo401K plan as the IRS rules are different. Just don't rely on us amateurs giving you on line advise, check with a real expert in the field before you put your money at risk.

John, if you qualify for a solo401K you can use the plan to buy and flip a  property. You do run into tax issues if you run a business out of your solo401K, flipping one home would not be considered a business but doing it on a regular basis is another story. I have some experience but I am not an expert and before you proceed you need to talk to an expert. 

Good Afternoon Claudia, using your self directed IRA for note investing is very common and a good use of a retirement plan. While the self direted IRA's are most popular you should educate yourself on the benifits of a solo401K plan. One of its main benifits is giving you direct control and access to your own money, no need to ask for a check you simply write your own and it comes out of your IRA account. When using your retirement money I would be cautious of investing in 2nd TD's, you may have a higher return but you will be increasing your risk, not something I personally would do with my retirement money. I would encourage you to investigate 1st TD's, the return will be lower but the safety is higher. I am also not a big fan of using funds to invest my money into notes, I want to own the notes myself and be able to foreclose if it becomes necessary. Good luck to you.

@Tim Priebe 

Welcome new member! Bigger Pockets is the most innovative and educational site available to learn about real estate investing. Learn from those investors most active in the market today. You will find brand new people to the game and those that have been polished with years of experience, both good and bad. In my several decades of investing I have found that purchasing with cash flow as the number one goal and the secret to success in real estate. I have also learned that while buy and hold may be boring it is ultimately the best strategy. Use leverage but use it cautiously. Enjoy the experience.

All the best!

@Marco Rimassa 

Welcome to Bigger Pockets! As a real estate investor for over 40 years I can attest that there has never been a more valuable resource available for the newbie or the initiated. I have made many mistakes in my life and if I or others on the site can help you avoid our mistakes our time will be well spent. All you need to do is read the blogs or post a question and the responses will be educating and gratifying.

All the best!

@Chris Lounsbury 

Congratulations for joining the most valuable resource on real estate investing ever created. There are many books on investing and you should certainly read all of them. But for up to date information of what actual investors are doing in real time this site is unbeatable. Please ask any member for assistance, you will find every one on this forum willing to help.

All the best!

@Lian Chavda 

Congratulations on finding Bigger Pockets! You will find this a tremendous resource for all of your real estate needs. Please reach out to me or any of the other members for any help you may need to start your real estate career. Over 40 years I have been convinced there is no better way to achieve wealth than through the ownership of real property.

All the best!

@Chad Duncan 

Welcome fellow Bigger Pockets member! This is a great forum and I am sure it will help you learn many facets of the real estate investment world. I purchased my first investment property over 40 years ago and only wish that I had a resource likeBP community when I got started! So you are in a good company.

Some say that your net-worth equals your network, and this is the place to make right connections. You should also find investors locally and network with them face-to-face. Find people close to you using MEET feature. Also, look for investor meetings on Meetup.

All the best!