financial advice/ home buying/ 401K

[Guest]

Anyone can roll their 401k over into an IRA, which can then own an investment property. Our IRA owns our rental. The IRA is in our name, the house is in the IRA's name.

[skippy740]

That's only partially true. As a full-time employee, you can get your HR department to allow you to set up a self-directed 401K. If they don't allow it, then you can convert it to a self-directed IRA tax-free. In the alternative, you could open up a side business for a couple years and get the 401K account open. You can lose money and write off expenses for 3 years before the IRS scrutinizes your business model. There are plenty of ways to get this done.

It depends on the plan document as to what is and what isn't allowed.

Typically, you have to separate from service in order to rollover or do a direct transfer of retirement fund assets.

It is possible to do an 'in-service distribution'... but only if the plan document allows it, and you'll typically have to have completed a certain number of years of service for you to be eligible.