Are you helping clients use their retirement funds to build their real estate portfolio?

Are you helping your clients purchase property with their retirement funds?  We are the nation’s premier provider of Self-Directed IRA and help clients purchase real estate with their retirement funds everyday.  Our process it simple, easy and we have one of the fastest processing times in the industry.

Highlights of how to use the IRA

family in front of home

  • The IRA may only purchase an investment property, not a primary residence.
  • The tenants should not have any connection with the account holder.
  • Since the IRA owns the property, the IRA pays for everything related to the property: taxes, repairs, expenses etc.  Our self-directed ICO account gives the account holder checkbook control making these expenses easy to pay.
  • The self-directed IRA receives all revenue generated from the property.  Rent payments go back into the IRA.  When the property is sold, the profit goes back to the IRA – TAX DEFFERRED – no 1031 exchanges.

What is an ICO account?

A Self Directed IRA’s ownership of a LLC, referred to after this as “ICO”, is a special purpose limited liability company, which is either fully or partially owned by an IRA. Since the self-directed IRA owns the ICO, IRA funds can be legally transferred to the ICO in exchange for member units (shares) of the ICO. After this funding, both traditional and non-traditional investments may be purchased by the ICO instead of directly in the IRA.

ICO Benefits:

  • An ICO allows the account holder to hold real estate or other non-traditional investments in an IRA with checkbook control.
  • When the ICO sells real estate or other investments, the capital gains are deferred through the IRA, like any other IRA investment. The headaches of 1031 exchanges are never necessary.
  • Ownership of the property in an ICO allows the account holder, as manager of the LLC, to have direct, hands-on control of and investment decisions over ICO assets, including control of the checkbook. Custodian involvement and hassles are eliminated, regardless of whether the investments are in securities, real estate or other assets.
  • An ICO can use its IRA funding as a down payment for a real estate purchase, with the ICO financing or borrowing the balance. But an IRA cannot directly participate in such a financing arrangement.
  • Since the account holder controls and handles all ICO transactions, the custodian for the IRA can be paid an inexpensive, flat fee.
  • Litigation threats which accompany investments such as real estate are substantially reduced. This is done by isolating the investment inside the ICO, and away from the rest of your IRA funds and estate.
  • Continues to provide deferral of income and gains inside the Checkbook Controlled IRA.

Set-Up an Account:

  1. The client completes the new account applications either by paper or online.
  2. We create the IRA-LLC, set up the new account, and request a rollover of retirement funds from the client’s current custodian into the new self-directed IRA.
  3. The client opens a bank account for the IRA-LLC giving them checkbook control of their funds.
  4. We move the retirement funds that rolled over into the IRA-LLC by purchasing membership units of the IRA-LLC.
  5. The funds come over….let the self-directed, investment fun begin!

What type of accounts can roll into a self-directed IRA account

  • Most type of retirement accounts: 401(k), 403(b), Profit Sharing Plans, Keogh, Qualified Annuities, Money Purchase Plans, Cash Balance Pension Plans, Defined Benefit Pension Plans.
  • IRA accounts: Traditional IRA, SIMPLE IRA, Roth IRA, SEP-IRA, Inherited IRAs
  • Plus more, like Coverdale Education Savings

After the account is set-up we need:

**  Direction of Investmnet form (DOI) – This one-page form is like a check request.  It tells us the dollar amount needed from the IRA, the property address, how you want the funds sent, etc.  You and your client have 24-hour access to this form by visiting our website and clicking on FORMS.  Send this form to me with your real estate docs and we can start the approval & funding process.

** Titling – Remember, it’s the IRA making the purchase so the buyer should be listed as “American Estate & Trust FBO Account Holder’s Name” (FBO = For the Benefit Of).  This is also how rent should be made payable.  We sign all real estate docs on behalf of the IRA. 

42-15534708** Document and Funding Instructions – Include a piece of paper telling us where to sign or initial.  This page also tells us where to email/fax/overnight/snail mail the documents once executed and where/how you want the funds sent when ready.

We do not need the originals of our forms, so you can fax or email everything for processing.  


$1,995 set up fee

What’s included:

Your plan comes with:

–  Set-up of IRA-LLC

–  Filing of State articles

–  IRS filing of LLC EIN

–  Self-directed IRA Compliant Operating Agreement

–  Banking authorizations for checking account

– Assistance and guidance in rolling over the IRA account from the current custodian

–  Membership certificates

– Membership ledger

Annual Costs:

State filing fee – The account holder will receive an annual notice from the State to renew.  This fee varies by State, typically around $50-$150 each year.

Annual IRA Fee – Our annual fee of $275 can be automatically deducted from the IRA, paid by credit card on our website, or we can mail out an invoice.

Form 1065 annual filing – This fee varies by State, usually a minimum of $350.  This fee and filing does not apply to single member LLCs.

Are you ready?

Feel free to email or call me and I will send the forms to you, or directly to your client. Or, your client can get the process started by visiting and completing this IRA account application

Jaclyn M. Grella