For Investors

Using Retirement Funds to Purchase Real Estate

Did you know that you can invest in real estate using funds from your retirement accounts? 
Although many are not aware of this option, a great variety of real estate holdings can be purchased in a retirement account, ranging from a single family residence to an interest in a large commercial property.  Given the attractive real estate opportunities currently available and the uncertainties in the stock market, this is something you may want to consider.  Investment property is a much more tangible and controllable asset than mutual funds, stocks or bonds.  Investors may wish to use retirement funds to purchase real estate to diversify their holdings.  Also, some investors may not currently have enough funds outside of their retirement accounts to move forward with an exciting opportunity, but by using their retirement funds, they are able to do so.  Investing in real estate in retirement accounts is certainly not for everyone, and certain rules must be followed to avoid adverse tax consequences.  Be sure to get professional advice if you are considering this avenue, and feel free to reach out to Roberta for more information.

Taxes and Rental Properties

Allowable Deductions


If you have an adjusted gross income of $100,000 or less (not counting anyloss from "passive activities," several adjustments to adjusted gross income or taxable Social Security benefits), you can deduct up to $25,000 in losses from rental real estate against income from other sources. This is an allowable deduction if you owned at least 10% of the property and "actively participated" in its management (for example, if you chose the tenants and approved outlays for maintenance). If your adjusted gross income is between $100,000 and $150,000, you can still deduct some or all of your losses from rental real estate, depending on the amount of the loss.

Don't forget, if any rent losses were "suspended" in prior years, they are fully deductible in the year the property is sold.

Depreciation - Capital Gain Concerns

Taking depreciation on property - whether a principal residence, rental property or second home - increases your capital gain (and therefore tax liability) upon the sale. Tax treatment of depreciation claimed on real property varies depending on whether depreciation was taken before or after May 6, 1997.

Taxation of real property depreciation is a complicated subject. For detailed information, consult IRS Publication 523 "Selling Your Home" (available online at or contaxt a tax professional.

Tax-Deferred Exchanges

The sale of investment real estate can create a large tax liability. A properly structured tax deferred exchange under Internal Revenue Code 1031, however, allows businesses and individuals to defer the recognition of the capital gains or other taxes associated with the sale of most investment assets, as long as the new assets are purchased to replace the existing assets.

I am a 1031 Tax-Deferred Exchange Specialist who has helped many clients increase their wealth through wise counsel and the optimum exchange of properties at expedient times. My length of experience in the real estate market and my unique understanding of how to prosper through it have allowed me to structure advantageous ways for my clients to build wealth. I watch trends in the marketplace and advise my clients on ways to preserve equity, increase cash flow, and consolidate or dersify real estate investment properties.

An established relationship with Investment Property Exchange Services, Inc. (IPX 1031), a nationwide Qualfied Intermediary, completes the package. You will be assured of immediate and expert advice on all aspects of and complications associated with the 1031 Exchange program. My clients have peace of mind knowing that their transactions are being given every consideration, time and attention, honest evaluation, sincere advice, and expert handling.

How to Choose a Property Management Company

Portland Real Estate and Property Management

There are many kinds of real estate investments: single or multi-family homes, apartments, office buildings, retail buildings, mobile home parks, and marinas, to name a few. Each one of these properties needs care and attention. You can manage your investment property yourself, or you can hire a property manager to take care of it for you.

Property managers do more than collect the rent checks. They can take care of tenant calls regarding complaints and repairs, and are on top of the latest laws and regulations. They will even show up in court if it's necessary. They take care of all the nasty details that can take you away from enjoying your life.


Before interviewing property managers, decide what you expect.  More.


List of Questions to Ask a Property Manager

Contact Us

Roberta Williams-Lock
Phone: 503-709-4321

Email Address:

Free Home Buyer Kit

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Roberta Williams-Lock

Principal Broker
PO Box 80883
Portland OR, 97280