QUESTION: My wife and I opened up 401 K solos and we want to invest in real estate using these. I am considering purchasing an office condo for my law firm - can you explain how the mechanics of such a purchase using the 401K solo would work?
ANSWER: While it is generally prohibited to invest the solo 401k assets in real-estate that the solo 401k owner/trustee uses for his or her personal or business use, since your law firm is the self-employed business sponsoring the self-directed Solo 401k, you may qualify for the following prohibited transaction exemption, which is outlined in the following blog post.
http://www.mysolo401k.net/blog-for-mysolo401k.html?entry=solo-401k-exemption-from-prohibited
After you read this information, you can call me directly at 800-489-7571 option 1 to further discuss.
Best,
Tom in Virginia
RSS Feed