If you are a property flipper, you already know some areas are better for Self-Directed IRA returns than others. Flipping is the practice of buying real estate, making improvements to unlock value in the property that may have been hidden to the previous owners and to other buyers.

It works well in rising markets, of course, but it is at its heart a market neutral strategy that can provide good results even in flat and falling real estate markets. The reason: Skilled flippers can add value through improvements faster than a falling market can suck value away.

A new survey from the National Association of Realtors lists the top ten markets for real estate flippers. And several of them are right here in the southeast, near many of our Self-Directed IRA clients in or near the Carolinas. And many of these metro markets are at reasonable entry prices. Do not have $758,800 to buy the median-priced home in Los Angeles? Head north to Fresno, or scout out properties in Nashville, New Orleans or Lubbock.

Here are the top 10 most profitable flipping markets this year, according to Realtor.com.   If you use a Self-Directed Roth IRA potential profits as stated below by Realtor.com would be tax free forever.

1.)  Nashville, Tennessee

Median home list price: $367,900
Ratio of flips to all home sales: 4.1%
Average flip profit: $87,200

2.)  Fresno, California

Median home list price: $311,700
Ratio of flips to all home sales: 3.5%
Average flip profit: $53,200

3.)  Palm Bay, Florida

Median home list price: $267,600
Ratio of flips to all home sales: 3.3%
Average flip profit: $71,500

4.)  North Port, Florida

Median home list price: $350,000
Ratio of flips to all home sales: 3.3%
Average flip profit: $85,300

5.)  Baton Rouge, Louisiana

Median home list price: $237,800
Ratio of flips to all home sales: 3.2%
Average flip profit: $70,000

6.)  Chattanooga, Tennessee

Median home list price: $257,500
Ratio of flips to all home sales: 3.1%
Average flip profit: $65,800

7.)  Los Angeles, California

Median home list price: $758,800
Ratio of flips to all home sales: 3%
Average flip profit: $169,400

8.)  Lubbock, Texas

Median home list price: $240,000
Ratio of flips to all home sales: 2.7%
Average flip profit: $46,000

9.)  Medford, Oregon

Median home list price: $410,000
Ratio of flips to all home sales: 2.7%
Average flip profit: $51,200

10.) New Orleans, Louisiana

Median home list price: $280,100
Ratio of flips to all home sales: 2.6%
Average flip profit: $93,400

The best thing: When you flip a property within a Self-Directed IRA, you do not have to pay immediate taxes on the profits. As long as the money remains in the account, you can execute an unlimited number of flips each year, and there will be no taxes due, except potentially unrelated debt-financed income tax on the gains or income attributable to money you borrowed to purchase or improve the property.

Interested in learning more about Self-Directed IRAs?  Contact American IRA, LLC at 866-7500-IRA (472) for a free consultation.  Or visit us online at www.AmericanIRA.com.