Investor Finds Self-Directed IRA Profit While Benefiting Homeowner

Leon Humphrey, an Equity Trust Company client from Gastonia, North Carolina, helped a neighbor avoid foreclosure while finding a self-directed IRA profit.

A homeowner in Leon’s area recently closed bankruptcy. The house the neighbor owned, valued at $160,000, was headed to foreclosure because of outstanding mortgages totaling $210,000. Leon learned of the situation and he saw it as an opportunity. He used his investment knowledge to help the homeowner avoid foreclosure while creating a self-directed IRA profit. The house had three mortgages: the first for $125,000, the second for $30,000 and a third for $50,000.

Leon secured authorization to negotiate on the homeowner’s behalf and listed the home for sale at $160,000. He then negotiated with the lenders of the second and third mortgages and purchased the second (originally $30,000) for $8,000, and the third (originally $50,000) for $3,000. Leon paid the mortgages from his self-directed IRA.

The house ended up selling for $160,000. After payment of the fees and the first mortgage of $125,000, Leon received a check for $17,440.22, which was payable to his self-directed IRA. He not only saved the owner from foreclosure, but turned a profit of more than $6,000. And all of it is tax-free! Leon’s investment illustrates how being aware of all types of opportunities can result in a self-directed IRA profit for any investor.

Want to succeed like Leon? Call 1-888-382-4727 today to open an account and begin growing your wealth.

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