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IfyouhaveanIRAyoux19reprobablyworriedaboutthepossiblelossofitsvalue.Butsomethingthatmanyinvestorsdonx19tknowisthatyoucanuseyourSelf-DirectedIndividualRetirementAccountSDIRAtopurchaserealestateandbroadenyourportfolio.Ifyoux19reseekingasaferIRAinvestmentalternativetotheunpredictablestockmarketforyourretirementfundsthenlandinvestmentmaybeanexcellentoption.Abuyercanusethisapproachwhetheryoux19reahands-oninvestororonewhopreferstorelyontheguidanceofanancialplanner.Eitherwaythoughitx19simportanttodoyourhomework.Youcanx19tbuyrealestatewithfundsfromaregularIRAsoyoux19llneedtobesureyouhaveaSelf-DirectedIRA.ThisaccountshouldbeopenedwithfundsrolledoverfromotherIRAs401ksorotherretirementplansthenthosefundscanbeusedtopurchasetheland.Therecanbelargetaxpenaltiesthatmayoccurifthetransactionisnx19tdoneproperly.TheIRAitselfmustpurchasethelandandholdthegrantdeedandallpropertytaxesmustbepaidfromtheIRAaswell.Therearemanytaxbenetswiththisapproachbuttheonemajordrawbackisthatthepropertypurchasedcannotbeprivatelyusedx13itmustbeheldasaninvestmentonly.Discussthisinvestmentapproachwithyourlandbrokerandalwaysconsultyourtaxadvisor.BeforeusingIRA401kmoniestoacquireanypropertyyoumustconsultwithyourpersonaltaxadvisortounderstandwhatmayormaynotbeaccomplishedandrestrictionsonyourabilitytomanagecontrolorotherwiseusetheassetspurchasedforyourpersonalenjoymentorotherwise.QAWhatfactorsarepeopleconsideringastheydecidewhethertobuyrecreationalpropertynowLongtimerecreationistsandhuntersinourareahavebeenleasingpropertyforhuntingatareasonableprice.Butinrecentyearsmanyhavegrowntiredofthefearoflosingtheirleasedealingwithotherhuntingclubmembersorthechancethatthelandownermaydecidetocutthetimberchangethelandscapeorevenselltheirlease.Soiftheycannanciallymaketheleapsomepeoplearedecidingtotrytobuysomelandoftheirown.ThePotlatchlandswearemarketingaregearedtowardsrecreationalusesoforthebuyerwhowantsstrictlyhuntinglandthatx19sgreat.Butthebigpictureisevenbetter.Thehuntersx19desireforarecreationalopportunitygetsthemtolookatpropertyandthentheylearnaboutlandasaninvestmentwhichoftengetsthemevenmoreinterested.WhatmajortrendsareyouseeinginrecreationalruralrealestateinArkansasThesaleofstrictlyrecreationalpropertyhasbeenslowerinthepastfewyearsbecauseoftheeconomybutweareoptimisticthatweareonthebacksideofthesalescycle.Arkansastimberlandhasbeenrelativelyreasonablypricedcomparedtoothersurroundingstatesanditoffersthehunterorrecreationistagreatopportunitytoinvestintheirpastime.WhatarethemainattractionsforpeopletopickArkansasforrecreationalpropertyWhydopeoplebuyinArkansasArkansasisTheNaturalState.Thebeautifulscenerymildwintersnumerousnationalandstateparkslakesandpubliclandsseemtobethedraw.Buyerscanownsomeofthestateandhaveplentifulpublicopportunitiesforrecreationaswell.WehaveseenalotofbuyerinterestfromsurroundingstatesespeciallyLouisianabecauselandpriceshavenotgoneupasdramaticallyhereastheyhaveinotherregions.Withlandbeingmoreaffordableandtherecreationandhuntingopportunitieswehaveasolidofferingofpropertiesfortherecreationalistthatalsohasaneyeforaninvestmentliketimberland.PAGE4UsingyourIRAtopurchaselandmightbeanoptiontoconsiderIMPORTANTNOTICEIRSCircular230DisclosureAsprovidedforinU.S.TreasuryRegulationsdiscussionofU.S.taxmatterscontainedinthiscommunicationincludinganyattachmentsisnotintendedorwrittentobeusedandcannotbeusedorrelieduponforthepurposesofiavoidingpenaltiesundertheInternalRevenueCodeoriipromotingmarketingorrecommendingtoanotherpartyanytransactionormatteraddressedherein.Theenclosedinformationisprovidedforyourgeneralguidance.Theinformationisnotintendedtobenorshoulditbeconstruedasthebasisoftaxadvice.BeforeundertakinganyacquisitionwesuggestthatyourefertotheappropriatefederalandstateincometaxlawsorconsultwithyourpersonaltaxadvisorQAQABenBallardKingwoodForestryAR