Raw Land Investments
Raw land investments in an IRA presents interesting options.
While often there are low costs and virtually no maintenance involved in investing in raw land, sometimes expenses can be extensive. This depends on the purpose of acquiring land as an asset. It’s important to consider these factors, as any and all expenses must be paid directly out of your self-directed IRA funds.
Popular investments in raw land include:
Land as an investment within your self-directed IRA can be complex. Different states have different requirements pertaining to land use. If you are going to develop the land, become knowledgeable of permitting requirements and other regulations that apply. It is recommended that you consult with trusted professionals who are familiar with land assets to assist you in the investing process.
Make sure your IRA has adequate capital to purchase the asset and also to fund any maintenance or development projects you intend to take on. Remember, as the IRA owner you are unable to perform any work yourself and must hire third parties for any tasks.
Additionally, you must fully understand and follow IRS guidelines and rules pertaining to these investments in a self-directed IRA.