Using a self directed IRA or 401K account investors are able to purchase a promissory note or mortgage paying between 8% and 12% interest and fully secured by a first mortgage.
Fairfax, VA (PRWEB) February 04, 2012
Richard Geller, CEO and managing director of FinancialSuccessInstitute.org, stated today, "Few investors consider a promissory note or mortgage note when they are looking for high paying and highly secured investments. Yet, investing in a promissory note can be the best answer to today's highly volatile stock markets. Educating FinancialSuccessInstitute.org subscribers about the benefits of investing in a promissory note is a new section we now offer."
Geller continues, "Using a self directed IRA or 401K account investors are able to purchase a promissory note or mortgage paying between 8% and 12% interest and fully secured by a first mortgage. Investing in a promissory note is not restricted to those with a self directed IRA or 401K. High net worth individuals have used promissory note investing to acquire wealth, growth wealth, and protect wealth. Now, FinancialSuccessInstitute.org is offering the promissory note investment opportunity to our subscribers. Those wanting to learn more can begin by reading the article Promissory Note and other alternative investments."
Geller explains the rational behind promissory note investing. "Our subscribers are familiar with real estate investing using their self directed IRA or 401K. However, those that rent houses or commercial properties know the headaches that come from being a landlord. With promissory note and mortgage investing, you still have the security of your promissory note being backed by real estate but without the problems of being a landlord."
Here is a list of promissory note investing highlights FinancialSuccessInstitute.org will be providing details about in the coming days and weeks.
- The promissory note should be for 65% or less of the property's market value.
- An appraisal of the house is required to verify the market value before the promissory note is written.
- Typically, the larger the down payment from the buyer, the lower the promissory note interest rate.
- A credit check is performed before a promissory note is executed to determine the financial history of the home buyer.
- A title insurance policy is required to assure the promissory note is in first position in event their is a default.
Geller concludes, "FinancialSuccessInstitute.org sees investing in a promissory note as an excellent alternative to stocks and bonds. Many investors will find promissory note investing superior to other types of real estate investing that require investors to act as landlords. Different subscribers have different investment needs. While promissory note investing won't be for all subscribers, a substantial number of subscribers will find promissory note investing an attractive alternative.
About FinancialSuccessInstitute.org. The Institute is devoted to educating readers and subscribes about investing alternatives and safeguarding wealth once acquired. Information about holding a promissory note in a self directed 401K is only a small sample of resources available to subscribers. Besides details about holding a promissory note in a self directed 401K, other information readers can access includes the self directed IRA and 401K, IRA LLC, debt settlement, legally minimizing taxes, tax lien investing, and precious metal investing.
Disclaimer: Information here and at FinancialSuccessInstitute.org is not legal or professional advice regarding holding a promissory note in a 401K or any other retirement account activity. It's intended only as general information sharing. Seek professional assistance regarding specific circumstances and applicable laws to assure you fully understand the ways you can hold a promissory note for investment or before taking any other retirement account action.