Many owners of rental properties have realized significant equity appreciation during the recent real estate boom and are asking themselves âIs it now time to sell?â Based on our interaction with hundreds of rental property owners, here are the top 8 reasons that can trigger a desire to sell rental properties now. 1. Older owners […]
While most DST investors remain in their DST investments for the full ownership cycle, situations can arise when an investor may need to sell some or all their investment prior to the sale of the entire DST. The investment period of a DST is typically 5-10 years and the trustee of the DST is solely […]
The process of selecting DSTs is substantially different than investing in traditional income properties and we have seen unwary investors take on greater risks than need be due to a lack of understanding of the key differences and potential pitfalls. The following five areas are among the most common that prudent investors need be aware […]
During much of 2017, there was a growing concern among many real estate investors that efforts to reform taxes would result in a loss of 1031 Exchange benefits. This belief was fueled by comments from both Republicans and Democrats who were expressing that the 1031 Exchange had turned into a tax loophole for wealthy and […]
In late April, efforts to place a measure on the ballot in November to repeal Costa Hawkins, state legislation that prevents cities and towns from imposing rent control on buildings appear to have received more than the requisite number of signatures. First passed in 1995, the Costa Hawkins Rental Housing Act, contains restrictions on rent […]
We frequently encounter older investors who have built up a substantial portfolio of rental properties and discovered that their kids or other beneficiaries have no interest in managing real estate. They are then often faced with tough estate planning decisions including 1) whether to cash out their portfolio and pay taxes to avoid passing on […]
We have just returned from an industry conference in Orlando this week where we had an opportunity to meet with many leading sponsors of 1031 Delaware Statutory Trust investments. We would like to share their perspectives on how 2018 is shaping up in this monthâs newsletter to our many clients, friends. and business colleagues. 2018 […]
Per data published by Mountain Dell Consulting, residential/multifamily properties accounted for 62% of all DST1031 Property investments in 2017. While all real estate asset classes have their respective strengths and weaknesses, well positioned residential properties in areas of growing population and constrained competition from new supply have many characteristics that attract investors. Perpetual Lease Term. Unlike […]
Being a landlord has its challenges and there comes a point when a lifestyle change may make sense. Jim bought a Bay area apartment complex 30 years ago with an investment of $2 million and a loan of $6 million. He has since payed it off and is currently realizing net cashflow of $200,000 per […]
Scarcity of attractive 1031 replacement properties. For many investors, the biggest challenge to successfully completing a DST 1031 Properties Exchange is to find a suitable replacement property. Attractive properties that receive broad exposure on public listing sites will invariably attract multiple bids and likely be won by buyers who are often willing to pay more than fair market […]