When your IRA money is invested in the stock market, just what exactly happens? You either control it yourself or put it in the hands of a broker. When you put it in their hands, you are relying on them to place that money into a fund, that in return, places that money into a single company or a number of firms. Each firm has a good or service that it produces, business plan, employees, customers, etc. You are hoping that everybody along the line does their job in order for you to get your return. These are all out of your control with decisions made by their management, staff and boards. When your money is in the company, how much control do you really have? NONE! You are relying on past performance and that it will continue in a positive manner.
Investing in a mutual fund or stock is a little bit like investment in real estate, except that you generally have fewer moving parts and are backed by an asset. Besides possibly being a local investment, which is not necessarily a must, you get to take advantage of tax deferred benefits by way of depreciation. In some cases, if you are buying in a partnership scenario with other investors, you may own your portion in a "Tenants in Commons" form of ownership, which allows you to sell your share of ownership and exit to redeploy that capital in another investment.
Just like the trust you put in your fund manager or brokerage firm that manages your investment dollars, you will rely on your real estate management team. They are critical to your investment. I hope you take the time to interview the teams who are actively on the ground managing the maintenance and tenant issues of your investment money/property if you own now, or will in the future. It never hurts to be able to walk through with the people that are actively employed at taking care of your investment. The firms that I represent on the links of my web page will set up tours and answer every question about the assets, performance and maintenance that you have. This is one reason I work with them and promote their programs. I will be adding retail and office firms as I interview them and verify I am in agreement with their business model and that it is transparent.
There are multiple ways to move your money around in real estate that can be very profitable over time, which is exactly what your IRA is designed for; enjoying the fruits of your profits at retirement. You may have only heard about how much money was lost by many people after the real estate bubble burst in several areas of the country recently, but you don't hear about how much money firms and individuals are making now! Real estate in California, Florida, Nevada and Arizona to mention a few states, has been skyrocketing! Even the oil industry and fracking have been creating little real estate boom markets where there have been huge population shifts to cover the jobs that opened up in areas where there were none.
You don't have to get your hands dirty in real estate or manage it! There are plenty of firms that are reputable and can invest your funds to make you a lot more money than you will ever get in the stock market. I have a few to recommend now and will be growing that number into other asset classes and geographic areas.
Call me to discuss the opportunities when you have a chance! Click on one of the links to the left on my main page and review some single family residential rental opportunities and apartment building firms that will manage your investments for you.