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Tax Lien Certificates
Using Your Retirement Dollars to Fund Tax Lien Certificate Investments
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Using Your Retirement Dollars to Fund Tax Lien Certificate Investments "In America there are two tax systems, one for the informed and one for the uninformed. Both systems are legal." One of America's most famous jurists, Justice Learned Hand made this statement over forty years ago. When used today one would certainly have to include the world of Individual Retirement Accounts (IRA). The point I am making here is, we all need to keep ourselves informed about what IRA alternatives are available to us, being uniformed about these IRA alternatives almost certainly means we are not taking full advantage of the opportunity to get much safer and higher returns than you could ever hope to get through stocks, shares or mutual funds. More and more financial advisers are advocating Tax Lien Certificates as an essential part of your long-term retirement planning. The super high yields available through Tax Lien Certificates coupled with security of your investment being secured by the real estate property makes them an ideal long-term investment. A $3000 yearly investment in Tax Lien Certificates at 18% through a Roth IRA over 25 years would give you a return of approximately $1,000,000. A one time investment of $30,000 through a self-directed IRA investing in Tax Lien Certificates at 18% over 20 years would give you a return of approximately $1,000,000. If you had used your IRA to purchase Real Estate Tax Lien Certificates, Tax Deeds or Notes For most Americans the difference with current anemic IRAs would be truly alarming. The clear fact is if Americans had known back in 1974 that their IRAs could be used to purchase real estate Tax Lien Certificates, Tax Deeds and Notes, millions of baby boomers would today be retiring with vast sums of cash and assets inside of their IRAs and 401Ks Let's do a few very simple comparisons... NASDAQ reported on March 10, 2005 that it had risen to 59% of what it was five years earlier! $100,000.00 invested in NASDAQ in 1999 would now be worth something like $59,000.00. That's very sad but it's where most Americans are today. If you had put $5000 into a CD with a local bank in 1975 and secured a 6.02% interest rate and left it there for 30 years you would now be collecting $29,541 a little better but still not great. If you had purchased Tax Liens Certificates at the following Rates for 30 years this is what you would have collected:
In FL $5000 @ 18% for 30 years $716,853 In IA $5000 @ 24% for 30 years $5,120,000 How many banks are still paying 6% on CD's NONE, the rate today is around 4%. $5,120,000 from Tax Lien Certificates or $29,541 from a CD or a lost of $41,000 on NASDAQ which one would you choose? |
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