Jim Pfeifer and Paul Shannon sit down with John Bowens of Equity Trust to break down the power of self-directed retirement plans for real estate investors. From the basics of what “self-directed” really means to the nuances of IRAs, HSAs, and Solo 401(k)s, John explains how you can unlock more flexibility and control in building your portfolio. Whether you’re investing in syndications, private lending, or direct ownership, learn the steps for opening a self-directed account, how to navigate leverage with UBIT/UDFI, and why a Solo 401(k) might offer key advantages (when you qualify). Plus, John dispels the myths around the tax complexity of self-directed deals and shares a simple framework to evaluate any potential investment.
Today’s Episode Takeaways
- What “Self-Directed” Really Means: Why most standard IRAs don’t allow real estate—and how self-direction changes that.
- IRAs vs. Solo 401(k)s: Who qualifies, which offers higher contribution limits, and the unique tax perks.
- UBIT & UDFI, Explained: How leverage can trigger special taxes—and why it’s not always a deal-breaker.
- Choosing a Custodian: Key factors like years in business, transaction speed, fee models, and customer service.
- Strategic Framework: John’s 3-part approach (business sense, tax optimization, and lifestyle considerations) for any self-directed deal.
Learn More from Equity Trust
- Website & Resources: TrustETC.com
- YouTube: Equity Trust Company for in-depth how-tos
- Or visit the PassivePockets website for additional content and materials
Disclaimer
The content of this podcast is for informational purposes only. All host and participant opinions are their own. Investment in any asset, real estate included, involves risk, so use your best judgment and consult with qualified advisors before investing. You should only risk capital you can afford to lose. Remember that past performance is not indicative of future results. This podcast may contain paid advertisements or other promotional materials for real estate investment advisers, investment funds, and investment opportunities, which should not be interpreted as a recommendation, endorsement, or testimonial by PassivePockets, LLC or any of its affiliates. Viewers must conduct their own due diligence and consider their own financial situations before engaging with any of the advertised offerings, products, or services. PassivePockets, LLC disclaims all liability for direct, indirect, consequential, or other damages arising out of reliance on information and advertisements presented in this podcast.
Contact Us
jimpfeifer@biggerpockets.com