Whether dipping their toes in the investment property arena directly by purchasing their first income-generating property, or indirectly by investing in funds that buy foreclosures to rent, more Americans are turning to real estate to build wealth, according the a recent Bloomberg.com story.
Investors accounted for 18 percent of sales nationwide in August, the highest since the beginning of the foreclosure crisis, according to the National Association of Realtors. About 90 percent of those investor purchases went to people owning fewer than 20 properties.
Many neophyte investors are utilizing self-directed Individual Retirement Accounts that allow them to purchase investment properties with retirement savings. See the Bloomberg story here: Foreclosures Drawing Cash as 401K Returns Sag: Mortgages
What’s your opinion? Would you purchase income property through your retirement account?