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ChooseFI | Financial Independence Podcast

Real Estate Inside an IRA

ChooseFI | Financial Independence Podcast

Jonathan Mendonsa & Brad Barrett | Choose FI Media, Inc

Careers, Business, Investing

4.85.2K Ratings

🗓️ 7 September 2018

⏱️ 60 minutes

🧾️ Download transcript

Summary

Want proof that mainstream media can't ignore financial independence anymore? You're literally hearing FI discussed poolside in suburban Virginia. This roundup tackles listener wins, questions, and hot topics across real estate, travel hacking, and the FI movement's growing reach. Chapters Introduction to Real Estate in Roth IRA [00:00:00] Overview of how to invest in real estate through a Roth IRA and its benefits. Brian's Travel Rewards Win [00:00:05] Community member Brian shares his experience of using travel rewards points for a trip to Hawaii. Bittersweet Transition from Summer [00:01:28] Hosts discuss personal anecdotes related to the end of summer and returning to normal life. Media Coverage on Financial Independence [00:03:09] Exploration of how mainstream media is increasingly highlighting the financial independence movement. Understanding the 1% and 50% Rules [00:19:10] Explanation of these fundamental rules in real estate investing for assessing potential property investments. Wrap-Up and Community Engagement [00:55:40] Conclusion of the episode with emphasis on community engagement and support in achieving financial independence. Key Insights Travel Rewards: Utilizing travel rewards can lead to significant savings on trips, exemplified by Brian's story of a nearly free vacation to Hawaii. [00:41:50] Real Estate Strategy: Understanding the 1% rule (ensuring rental income meets or exceeds 1% of property price) and the 50% rule (expecting 50% of rental income to go towards expenses) are fundamental for property evaluation. [00:19:10] Community Support: Building a network of support within the FI community is essential for motivation and shared learning. [00:05:01] Quotes "Appreciation is a bonus; focus on the numbers first." [00:19:11] "An explosive opportunity for financial independence." [00:06:15] "Take back control of your life! Discover financial independence." [00:04:45] Action Items Research self-directed IRAs as a way to invest in real estate. [00:32:14] Join a local FI community group for support and shared experiences. [00:05:01] Create a travel rewards strategy using credit cards to maximize benefits. [00:41:50] Terminology Roth IRA: A type of tax-advantaged retirement account where contributions are made after taxes, enabling tax-free withdrawals in retirement. [00:32:33] Travel Rewards: Points accumulated through credit card use that can be redeemed for travel expenses, such as flights and accommodations. [00:41:50] 1% Rule: An investment guideline stating that monthly rent should be at least 1% of the property's purchase price. [00:19:10] Related Resources Rich on Money - Resource on real estate investing strategies. [00:01:09] Episode Mentions Episode /077: Advanced Travel Rewards with Marla Tanner. [00:38:13] Episode /013: Financial Independence in a Nutshell. [00:35:00]

Transcript

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0:00.0

Today on the show, we circle back and we discuss how to do real estate inside your Roth IRA.

0:05.5

Brian calls in to share his travel rewards when, as he is leaving on vacation to Hawaii.

0:10.8

Eileen wonders why.

0:12.4

More people don't pursue financial independence and Katie's daughter loses the tooth and wants to share it with the Choose a Fire community.

0:18.7

Welcome to the Ultimate Crowdsourced Personal Finance Show.

0:21.7

This is your Friday Roundup.

0:24.2

You're listening to Choose a Fire Radio.

0:28.8

The blueprint for financial independence lives here.

0:39.6

If you're looking to unlock the secrets to financial independence and early retirement, you're in the right place.

0:46.4

Stay tuned and join a community of like-minded people who are getting all finance to the world

0:51.4

and taking control of their lives in the pursuit of financial independence. Choose a Fire.

0:56.8

Your home for financial independence online.

1:09.9

All right guys, welcome to the show. Today's going to be a lot of fun. I can't wait to talk about this past week.

1:14.3

Episode with Rich from RichOnMoney.com talking about building a real estate snowball machine using cash, which is such an incredible concept.

1:24.6

And to help me with this, I have my co-host brand here with me today. How you doing, buddy?

1:28.2

Hey, Jonathan, I am doing quite well. It's kind of a bittersweet morning here in the Baron House.

1:33.2

It's the first day of school. So summer's over, which is kind of crazy. It's amazing how fast it went.

1:39.1

We got the girls off on the bus this morning. Now it's nine months again of just back to regular life, I guess.

1:47.5

But we hit up the pool yesterday for the last time for the summer, which again, another bittersweet thing.

1:53.5

Oh man, so many great things come to an end. Yeah, mine closed as well. What was crazy is we went to this

2:00.0

Labor Day event at our pool over the weekend. I actually had two people ask me, are you that guy from

2:07.3

Choose F.I. And they had seen that Andrew Frieden interview that we did on NBC probably almost a month ago now.

...

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