Self-directed investors are increasingly drawn to tax lien investments because of the potential for impressive returns from little initial investment.

Tax lien auctions and sales result when a land owner fails to pay taxes on a property. The county can auction the tax lien to recover that money rather than waiting for the delinquent property owner to pay up. The investor who buys the lien can than charge the property owner the interest and penalties that the county would normally receive; if it’s not paid, the investor could become the property’s owner.

Investing in these liens can be a lucrative way to build your self-directed IRA if you keep a few pointers in mind, according to Joanne Musa, who has been called “The Tax Lien Lady,” at the 2011 Equity University Networking Conference.

Joanne will share her strategy during a free webinar at 8 p.m. January 26. Here’s a look at what seasoned investors do before they attend tax lien auctions or sales:

Think like an experienced tax lien investor

Those who have bought tax liens know there are a few things to keep in mind:

• The process varies by state. Each state goes about tax lien sales or auctions in its own way. Be sure you know the variances before jumping in. Joanne outlines the differences in her webinar.
• There are different types of investment options and strategies to employ, depdending on your ultimate goal.
• Some due diligence is required to make sure you’re getting the best deal, but there are face-to-face and internet sources that can help ease the process. Joanne will share her list of quality sources and where to find them.

The results can be well worth the effort. One client, John D., described some of his tax lien successes, saying some of them yield him a 12-percent yearly rate of return. (Read more about his notable investments here.)

With the insight from this exclusive webinar, you’ll have the foundation you need to build tax-free profits like John.

Sign up now and gain Joanne’s inside information to get the best tax lien deals!

January 24th, 2012 | No Comments »

Looking for ways to make bigger deals than your current cash flow allows? There’s cash pool out there of up to $4.2 trillion* that has sky-high potential for investments.

This cash from a source that you might not have thought about: self-directed IRAs and 401(k)s. You can complete the deals you might already be doing while gaining the tax advantages offered by IRAs.

Join Mike Vavruska of Equity Trust Company, as well as Equity Trust client Bob Bock of Venture Shot & RJB Investments for a free webinar January 11, 2012, as they explain how you can tap into this little-known money source for bigger and better investments.

The webinar will reveal:

• How to tap into IRA and 401(k) funds to make more deals than you thought possible
• How investing with self-directed IRAs equals tax-free or tax-deferred profits
• How to qualify for tax deductions (up to $54,500)

Plus, all attendees will receive a valuable offer that will help jumpstart their tax-free investments!

Webinar
Wednesday, January 11, 2012
3 p.m. EST

Click here to register for the free webinar.

*Investment Company Institute

January 9th, 2012 | No Comments »

The state of the real estate market, with the abundance of foreclosures coming through the pipeline, creates an incredible opportunity for investors.

What’s more, you can build incredible wealth through this real estate segment and not pay taxes on your profits. Let Equity Trust Company show you how by revealing a simple strategy that only 2% of Americans are currently using: investing in real estate with self-directed IRAs.

Business Development Director Kent Kinzer will explain the amazing benefits of investing in foreclosures with a self-directed IRA and how you can get started fast in a free webinar on January 10, 2012.

The presentation will reveal how you can:

• Generate tax-free profits by investing in distressed properties
• Qualify for large tax deductions (up to $54,500)
• Tap into as much as $4.2 trillion in extra funding to do deals (hint: it doesn’t involve any banks!)
• Pay your healthcare expenses or your child’s education using profits from your real estate investments

Plus, Kent will present an exclusive offer at the end of the presentation that will help you jump-start your wealth building.

Webinar Presentation:
Generate Tax-Free Profits Investing in Foreclosures with Simple Strategy
Kent Kinzer – Equity Trust Company

Click here to register.

January 6th, 2012 | No Comments »

You might have a retirement plan in place, but is it working for you as much as you’d like? There are several options out there, so there’s bound to be at least one plan type that especially maximizes your unique savings situation. This time of year is the perfect time to evaluate those options and make changes where they’re needed, Forbes magazine confirms.

In the magazine’s “10 Smart Money Moves to Make Before New Year’s,”  the author provides several options for potential money-saving measures to take now that will continue to benefit you long into 2012 and beyond.

Here are a couple of the suggestions:

Solo 401(k): Are you self-employed or just simply don’t have a retirement plan through an employer? Set up a 401(k) before the December 31, 2011 deadline. Get in by that date, and you can continue to contribute to the account until the 1040 deadline with extensions – up until as late as October 15, 2012.

Ira to Roth IRA Conversion: It could be wise for you to move your pretax IRA money into a Roth IRA and pay taxes on it now if your IRA has lost money since you opened it, or if you find yourself in a lower tax bracket than you were when you were upon the IRA’s inception. You’d be paying lower taxes than you originally would have, leaving your money to grow in your Roth IRA tax-free.

These account options are among several self-directed plans Equity Trust Company offers. If you’re not sure which type of plan would benefit you the most, an Equity Trust representative would be glad to talk to you one-on-one to help you weigh the options.

This financial Blueprint for Success, normally $125, is FREE for a limited time if you use this link. Plus, we’re also currently offering those who sign up for the Blueprint a free copy of “The Insiders’ Guide to Tax-Free Wealth” – a $297 value!

Put tax-free wealth on your financial to-do list for the balance of 2011.

December 15th, 2011 | No Comments »

Equity Trust Company client John Logsdon is turning a struggling town into a resort and tourist destination – with the help of his self-directed IRA.

Yes – not only can investors self-direct their savings into alternative investments such as real estate and tax liens, but an entire town isn’t outside of the realm of possibilities when investors join a self-directed IRA custodian.

Logsdon’s journey began with lakefront land he owned in his IRA. When he and his wife decided to offload the parcel in exchange for something with more income potential, he worked with his partner to strike a deal with the corporation that owned an entire town.

Logsdon and his partner (another Equity Trust client) realized, after a little research into the company, that Logsdon already possessed what it wanted: lakefront property on which to build a cabin. Together the investors struck a deal to trade his land for an entire town that was under the company’s ownership. Logsdon and his wife (another ETC client) now have 50-percent stake in the northern California town of Keddie.

Rebuilding a Town, Creating Wealth

Ironically, the town of Keddie was born of investors’ money. It was named after surveyor Arthur Keddie, who surveyed the Western Pacific Railroad that cuts through the town. The town of Keddie was built for the workers who constructed the railroad in the early 1900s. The town’s ownership has changed hands many times since then, but many of the town’s original cabins remain.

The 40-acre town, which registered a mere population of 66 in the 2010 U.S. Census, has the moral backing of several former residents who have responded positively to Logsdon’s and his partner’s pitches for help with the rejuvenation effort. Many have offered to pitch in by either volunteering to mow the grass or lending their construction expertise. The investors have also brought in skilled workers to renovate the town and have made a deal that includes reduced cabin rental in exchange for their volunteer work.

A cabin in the town of Keddie, California

“One nice part of my project is that the final rehab supports hiring over 60 laborers, which will virtually eliminate unemployment in the local community,” Logsdon says.

Besides the cabins that are being updated for rental, the town’s 24-room hotel is being converted into 12 bridal suites. Keddie’s other lodge will either remain as a hotel or be transformed into a convention center.

The investors are also working on reopening the town’s lone restaurant and adding actual train cars to it as a sort of homage to the town’s beginnings. A restaurateur from Sacramento has donated about $250,000 worth of items from eateries he’s closed, including everything from appliances to fixtures.

In addition, a wedding chapel, gift shop, theater and coffee shop are in the works. Away from the town center, an amphitheatre is being planned for concerts and old movie screenings.

“It’s a fun project, and as you know, it’s all IRA money, so it has to build on itself,” Logsdon explains. “I can’t put anything into it. So that’s what it’s doing. The people we put into the town are working on it; they’re building it themselves. From the rent that they pay us, we buy materials they need to continue the rehab. So it’s working on itself; it’s building itself up.”

The rebuilding project has gotten favorable response from the county officials and anyone else with clout that Logsdon has approached.

The inside of a cabin in Keddie

“We’ve been having phenomenal support from the town,” he says. “These are the people who could say ‘No, you can’t do that.’ But they’re not; they’re helping us. They want it to come back just as much as we do.”

Once it’s near the point of opening for business – possibly sometime in 2013 – the town will be sold to other self-directed investors, producing a healthy profit for Logsdon and the others. He predicts his initial $444,000 investment will net him more than $1 million in the end.

Winning with Smaller Investments, Too

Logsdon self-directs his funds into other profitable investments as well, including buying discounted mortgages and acting as a “private bank” by modifying payments for struggling homeowners.

Logsdon benefits because profits generated from the loan go right back into his IRA – tax-free. The homeowners benefit because they have more manageable terms than they would through a traditional bank.

Whether it’s a house or a town, Logsdon is building his nest egg on his terms and keeping every cent he makes.

“I like to create win-win situations,” he says.

December 8th, 2011 | No Comments »

IRAs have contribution limits that sometimes stifle investors’ ability to tap into some potentially lucrative self-directed deals that require a higher amount of capital. Yet, you might have heard about successful investors who have been able to get larger deals done with the money in their self-directed retirement accounts.

How can this be?

As these investors have learned, the secret lies in several investment vehicles that provide higher contribution limits and larger tax deductions (up to $54,500). These options will satisfy any investor’s need for bigger and better deals.

Equity University Director of Education Edwin Kelly will reveal how to use small business plans for building real wealth in a free webinar, “Tap Into More Money for Bigger and Better Self-Directed Deals” on December 6 at 9 p.m.

The webinar will explain:

• How you can invest more money than your current plans allow
• How to qualify for larger tax deductions
• How to tap into more money to make more deals

Think these plans don’t apply to you? You might be surprised to find out that you qualify as a small business. Being an investor often qualifies you as self-employed, a sole proprietor or even as your own small business.

Get started now and discover how to get more money for bigger and better deals while qualifying for large tax deductions.

November 29th, 2011 | No Comments »

The time when abundant, profitable real estate flips were available is coming to an end.  But just because there are fewer and fewer flips available, doesn’t mean there aren’t real estate deals out there.

In fact, there is an abundance of profitable real estate deals out there, generating positive monthly cash flow, just waiting to provide immediate, tax-free income to your self-directed IRA.  Are you ready to take advantage?

While the idea might seem daunting at first, you don’t have to be a real estate titan to pull off deals – in as little as 60 days – with potentially incredible returns.

Equity University has pulled together a team of experts representing every step of the process for a free webinar on Thursday, November 17 at 9 p.m. to reveal the 3 simple steps in creating a cash-flow real estate deal, including:

• How to find a manageable deal that will net you big returns for your self-directed IRA
• How to find money to initiate the deal
• How to get the deal done quickly and (correctly)

Register now for this valuable webinar so you can learn how to leverage the buyer-friendly real estate market and get your next deal done in 60 days.

November 15th, 2011 | 1 Comment »

Calling all “Plus” people: Now you can add us to your circles! Equity Trust is giving you yet another avenue to discover more self-directed investing news and information: Google+. Click here to view our profile and begin following us.

Those of you who are somewhat social media-literate are at least aware of Google’s recently created social network. Some of you have created a profile and explored the space. (Here’s Google’s guide if you want to learn more.) Others are happy sticking with Facebook, Twitter, LinkedIn or nothing at all.

Whatever your preference, we’ve got you covered. Connect with us in the cyberspace(s) where you hang out, or simply visit this blog or our website for a wealth of information to get you well on your way to self-directed investing. Through Equity University, we deliver free webinars nearly every week on all aspects of self-directed investing. For those who prefer traditional face-to-face events, we host plenty of those each year too.

What are your thoughts on all of this cyber communication? Do online communities play a role in your networking when it comes to building wealth? Do you prefer one social network over another? Or do you think the whole lot of them just amounts to a time-consuming distraction? Share your comments here or respond on our Google+ page.

We look forward to connecting with you!

November 9th, 2011 | No Comments »

A staggering number of parents in the U.S. say their children’s sense of entitlement is the problem that most often keeps them at night.

For many parents, this troublesome trait ranked ahead of other significant problems, including peer pressure and sexual experimentation, according to Richard Eyre, author of the new book, The Entitlement Trap.

“Entitlement-related ideas usually start from altruism and good intentions,” Eyre says. “People have a right to this and a right to that. But the actual, practical effects of entitlement are always the same.”

The effects include:

• Loss of initiative, motivation and creativity
• Onset of the need for instant gratification
• Higher and higher expectations without effort

Eyre, who addressed investors at Equity University’s Networking Conference in September, explained how heightened awareness of finances and the idea of earning money goes a long way toward helping children feel ownership for and take pride in what they do. Instead of feeling like they’re entitled to anything they desire, children learn that with privilege comes responsibility and that being financially smart will be increasingly important as they get older.

Using these principles, Eyre and his wife have been successful in teaching their children to invest their money in their own futures, including their education. You can learn about these strategies and how you can self-direct your children, as well as your savings, toward financial independence.

Hear from Eyre himself, who is so renowned he’s even been a guest on Oprah, as he addresses this powerful notion during his free webinar, “Parent Alert: Simple Strategies to Financial Success for the Whole Family,” on November 10 at 9 p.m.

Jump into saving for your child’s education by learning how you how you can:

• Easily leverage your current investing strategies to completely pay for your kid’s education TAX-FREE (and benefit your current deals too!)
• Send your kids to their dream school, while avoiding burying them under  a mountain of school loans
• Help your kids help themselves by starting them young on lessons of finances and saving – even how to easily partner with you on your deals…it’s never too early to begin self-directed investing!

Don’t miss this chance to hear from an Oprah-approved family finance expert and get a jump on your children’s future! Register now!

November 2nd, 2011 | No Comments »

John D. recently traded in his business professional salary for a higher calling of sorts. The CPA from Indiana took a pay cut to become the business manager and Jack-of-all-trades for his church.

The reduced salary might limit the flow of what his wife terms “now money,” but John has a side venture that is earning plenty of “later money.” He has discovered the impressive returns that tax liens can bring to his self-directed IRA.

At his first tax lien sale, John picked up a vacant lot for $5,000 using funds from his self-directed IRA.

“I ended up getting the deed to that property a year later and sold it for $20,000,” he shares. “I was hooked.”

A Small-Dollar Investment that Can Yield Big Results

John is one of a growing number of investors becoming aware of the advantages of this self-directed investment option. Generally, counties auction the tax liens they hold against properties, leaving those who acquire the liens to collect payments and interest from the property owner or, like John, end up with the deed to the property.

Tax liens are an attractive option for many types of investors because of the variety of price points. Even investors with smaller portfolios can find liens that work for them and multiply their assets in a short amount of time.

“It’s happened for me time and time again,” John says. “I ended up with a house I paid $25,000 for at the tax lien sale. I put another $25,000 into it and I sold for $130,000. I netted $120,000 at the sale. So I had a $50,000 investment, it took a year and a half, and I turned another $70,000 gain.”

Those gains seem like mere pennies compared to a transaction he completed involving a tax lien on a public company’s property. After he won a local court hearing, the company made him a generous settlement offer. After dropping the initial $15,000 and another $10,000 in legal fees into the deal, John ended up with a settlement price of $450,000.

“With that one property alone, when I think about how many years it would take me to make contributions to an IRA to put the equivalent of $425,000 additional into my account…it’s just mind boggling.”

John Took Matters into His Own Hands…and Achieved Amazing Results

John could talk all day about the fabulous tax lien deals that are building up his retirement fund, and he couldn’t be happier with his reversal of fortune. After losing close to 50 percent of his IRA in the catastrophic stock market collapse in 1987 known as Black Friday, John isn’t about to place his future in the hands of unknown factors again.

“With all the things going on in the stock market, which you have absolutely no control over, at least with the IRA and dealing with property and so forth, I’m able to control and be hands-on,” he says. “If something bad happens, it’s my doing – not Greece, or Japan, or an earthquake.”

To those who are interested in self-directing their retirement funds into tax liens but are hesitant to jump in, John says you might find it’s not as intimidating as it seems. While he is a CPA and well-versed in tax law, he says you don’t have to be quite at his level to get into tax lien investing.

“I’m no rocket scientist; a lot of people show up at the tax lien sale,” he says. “My brother does it; he doesn’t ask me for advice.”

John found that when he needed to enlist the help of a tax attorney, the fee represented only a small fraction of the return that went back into his IRA. In addition, lay people can begin to understand the different types of alternative investments with webinars and materials from Equity University.

“When it fits in my schedule, I will always hop on and listen to a webinar,” he says. “Knowledge is power. New things happen, and new things come along. If I go to seminar and I can walk away with one new thing, one new bit of information, then it’s not a waste of my time. So I catch every (Equity University) webinar I can.”

By taking these few steps now, John is securing a comfortable supply of “later money.”

Click here for a guide to all the basics about buying tax liens using a self-directed IRA.

October 27th, 2011 | 1 Comment »