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Updated 1 day ago on . Most recent reply

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Gp G.
  • Investor
  • Atlanta
33
Votes |
338
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Question about investment using w-2 related 401k Money in multi family unit

Gp G.
  • Investor
  • Atlanta
Posted

Hi All.

I am thinking of removing my w-2 related 401k amount of about 183k by paying a penalty, taxes and investing in a multi family deal.I may get around 140k after penalties, taxes to invest in a multi family deal. What is the best area and unit mix I can invest in? I prefer my local Atlanta area to avoid a lot of travel and manage property manager, maintenance expenses better. Also I like to buy a deal myself to avoid any challenges and complications in future with a group which I never did in the past. Any pros and cons of this approach. Any better approaches? Any good connections I can connect in this regard like CPAs, realtors, property managers etc. Is a self directed IRA better approach as I am planning to switch my job in next month or so. Who can help me set up a self directed IRA with a reasonable amount of fee? Please advise.

Most Popular Reply

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Drew Sygit
#5 All Forums Contributor
  • Property Manager
  • Royal Oak, MI
6,300
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Drew Sygit
#5 All Forums Contributor
  • Property Manager
  • Royal Oak, MI
Replied

@Gp G. why would you give up ($183k - $140k = $43k/$183k) almost 24% of your 401k funds to invest in real estate?

Where are you going to invest the $140k to recover that loss?

How long will it take you to recover that loss?

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