How To Succeed as a Passive Investor


The passive investor is someone who would like to receive passive income off of his/her hard earned savings or supplement one’s retirement fund.  You may already have a full-time job or you may be retired and simply not interested or motivated to spend your time becoming an expert real estate investor.  With all of the other demands in life there just isn’t enough time in the day to spend learning how to become an real estate investor. But you can still grow your savings or retirement fund by passively investing in real estate easily and securely. 

Passive income in a nutshell, is money that flows in on a regular basis without requiring a substantial amount of effort to create it. The idea is that you make an upfront investment from your savings or tax free from your retirement account in the form of a loan collateralized by local real estate.  Once the money is placed there is minimal maintenance required going forward.

If you are retired or still working toward retirement, or already have an IRA account, you can find out more about how you can invest tax-free from a Self-Directed IRA account. 

WHAT IS A SELF-DIRECTED IRA?  A self-directed IRA is no a special type of IRA.   The term self-directed simply refers to the way the account is administered and the greater choice of the investment options available to the account owner.  More conventional retirement accounts involve a third party such as a broker or other institution who assists in the decisions and the purchase of more traditional assets that they sell, such as stocks, bonds, and mutual funds.  Self-directed IRAs are controlled by the owners of those accounts, who have the freedom to choose from a large pool of alternative investments – like real estate, precious metals, private lending opportunities, and much more – to build tax-free or tax-deferred wealth for retirement. 

WHAT IS A REAL ESTATE IRA?   Self-directed accounts that hold real estate as assets are commonly called real estate IRAs.  The administration and functionality of real estate IRAS is the same as any other self-directed account.  Account owners identify real estate-related investments they wish to acquire based on things they know and understand – retaining absolute control over their own funds and acquisitions.

WHAT SORT OF REAL ESTATE RELATED INVESTMENTS DOES YES REAL ESTATE STRATEGIES OFFER?  Yes offers two basic ways to invest in real estate: 1) secure private lending opportunities backed by local real estate.  The private investor funds a private mortgage for a 3-5 year term, that bears a simple interest rate of eight percent (8%) with interest paid quarterly and a balloon payment of the principal loan amount returned at the end of the term.  The investor will have the option of receiving the principal loan amount at the end of the term or rolling it over for an additional term at the same interest rate.  The minimum amount of the loan is $25,000 for a loan term of not less than 3 years.  Loans of over $150,000 will receive a 9% simple interest rate paid quarterly.  At closing on the loan, the private investor would receive a first mortgage lien recorded against the property that would secure the investor’s principal and ensure timely interest payments.    

To  find out more, get your questions answered without any further obligation simply click on the following link  (SAMPLE) and let our preferred professionals at Advanta IRA answer your questions and assist you in setting up your Self-Directed IRA account.  Advanta, as one of the nation’s premier self-directed individual retirement arrangement (IRA) administrators, with over 25 years of experience and success in their industry.  Advanta insures all elements of the facilitation of your account are performed properly and in compliance with the IRS rules and regulations.  They file all the necessary reports on your behalf, issue statements, and help you follow contribution limits and permissible transaction guidelines.  Investors are able to focus on the more important task of identifying appropriate assets to add to their portfolios. 

Real estate is the most popular investment in a self-directed IRA.