“The beauty of diversification is it’s about as close as you can get to a free lunch in investing.” ~ Barry Ritholtz
When it comes to investing, not everyone holds an in-depth understanding of the different types of financial assets. For the average investor, it’s advisable to diversify his/her investment portfolio. The same rule applies to your retirement savings. If you are a self-employed professional or owner-only business, a self-directed Solo 401 k account allows you to add different types of assets to your retirement portfolio. Some of the available options include real estate, mortgage notes, tax liens, tax deeds, precious metals, private equity, personal lending, and even the traditional stock/bond investments.
As a real estate investor, adding real estate to your retirement portfolio could be a lucrative option, considering your understanding and knowledge of the field. Here’s how you can purchase real estate with your retirement savings:
You’ll need to insure the property. This video put together by our team will help you understand the guidelines you need to follow to insure your Solo 401k property.