Financing Options Remain Available But With More Requirements

As expected, lenders have tightened up loan requirements, but unlike 2008/2009 (GFC — Great Financial Crisis), the market hasn’t frozen up. During the GFC, liquidity dried up. Since the beginning of this year, the FED has been pumping billions of dollars into the credit market to avoid a replay of 2008/2009. Some of this liquidity has come by way of a program called the Primary Dealer Credit Facility, which was used during the GFC and again as the stock market cratered in February/March.

Posted by Trey Robinson on Jul 10, 2020

Are April & May Rents Setting Unrealistic Expectations?

April and May’s rents are down compared to the previous year but not by a wide margin. However, with uncertainty about the economy due to the pandemic, it’s unclear what to expect in the coming months. Unemployment benefits can’t sustain out-of-work residents indefinitely. The path forward isn’t entirely clear at this point.

Posted by Colton Hoisager on Jul 9, 2020

I Need A Backup Strategy For My 1031 Exchange

You have a property picked for a 1031 exchange, but want to create a backup plan in case it falls through. In this article, we’ll walk through a few simple options that can be added to your 1031 forms and used as a backup. 

Posted by David Funes on Jul 8, 2020

Mortgage Forbearance And Eviction Moratoriums

With the shutting down of the economy due to COVID-19, many tenants are without a job, which means they also can’t pay their rent. For landlords, this means a significant cut in property cash flow. However, because cash flows have been reduced doesn’t mean expenses have also been reduced. With active tenants on the property, expenses are likely to remain at previous levels. How do landlords survive in this type of situation?

Posted by Colton Hoisager on Jul 7, 2020

What is a Partial 1031 Exchange?

Often, 1031 investors would like to set aside a portion of the money from their property sale. Perhaps they have college tuition or an upcoming wedding to consider. This begs the question: Is it possible to keep a portion of a property sale’s proceeds while still deferring the majority of taxes with a 1031 exchange?

Posted by David Dahill on Jul 6, 2020

Diversification Considerations When It Comes To DSTs

Investment diversification combines different financial products into a single portfolio. This, in turn, spreads the potential negative impact of specific risk across the portfolio. In plain English, this means that owning several assets, that are impacted differently by certain economic forces, ensures that a portfolio is not overly exposed to one type of risk.

Posted by Clay Schmidt on Jul 3, 2020

Landlord, No More: A Look At Passive Real Estate Investing

Let’s say that you own a rental house, residential duplex, self-storage facility, or office building. And, let’s also say that, while you appreciate the cash flow you’re receiving from the property, you’re tired of the trash, tenant, toilet, and management issues that are part and parcel with ownership. Basically, you like the returns, but dislike being a landlord.

Posted by Amr Tenney on Jul 2, 2020

What Types Of Costs Can Be Included In The Initial Cost Basis?

In Part I of this series, I explored the definitions of Cost Basis and Adjusted Basis as they related to real estate investments. As I noted in that article, certain real estate transaction costs and expenses can be included when determining the Cost Basis. In this article we’ll delve into the types of costs that are included in the original Cost Basis.

Posted by Drew Reynolds on Jul 1, 2020

What Types Of Costs Are Included In Adjusted Basis?

In Part I of this series on tax basis,  I explored the definitions of Cost Basis and Adjusted Basis as they related to real estate investments. In Part II, we explored the types of costs included in the original Cost Basis. In this third and final article, we’ll look at what types of costs and expenses can affect the Adjusted Basis.

Posted by Drew Reynolds on Jun 29, 2020

Industry Trends for Qualified Intermediaries to Consider as Filing Deadline Approaches

As we approach the July 15, 2020, Internal Revenue Services filing deadline amidst the global pandemic, our team at Realized wanted to share some thoughts and statistics that we are seeing in the market. Our goal with this data is to help Qualified Intermediaries (QIs) and their clients better navigate the next three weeks leading up to the deadline.

Posted by Sam Kohler on Jun 26, 2020

What is Investment Property Wealth Management?

Manage risk and help maximize opportunity