Search My Frugal Miser
Wednesday, April 18
Moving to Florida
Earlier this year my old boss from the software company sent me a little nudge about investing in real estate through a Self-Directed IRA. I had heard about this type of investment before but was told there are so many hoops to jump through and fees to pay that it isn't such a great idea.
I will revisit exactly what a Self-Directed IRA is in a future post. For now, let me just say I have decided to diversify my real estate portfolio and Pinellas County looks like a good area to plant my flag (though neighboring Hillsborough County might be in the cards, too). There's still work to be done. The investments I make with my IRA can only be used as rental properties - I can't use it to buy a personal residence. I will probably purchase a rental property and then move down there, staying in a rent-by-the-week type of place temporarily. Once the rental has been rehabbed and occupied I plan to find a second home to purchase as my primary residence.
This will sort of be like starting over. What I mean is, in 2003 I bought my first house, then moved in 2006 and rented that one. Then in 2008 I moved again and rented the home I was in. This will probably be my strategy there. The difference this time is that I have my Alabama base of rental properties to sustain me and throw off cash to use for future purchases.