As the Baby Boomer population continues to grow, the price of retirement homes in desirable locations from Arizona to the South of Spain continues to rise. Using self-directed IRAs, some investors are now purchasing these retirement dream homes well before their retirement years. Foreseeing a rise in the cost of retirement properties, most notably waterfront properties, these investors have been capitalizing on a rule in the IRS code which enables the purchase of investment real estate using funds from individual retirement accounts (IRAs) – without incurring distribution taxes or penalties.
