What Happens When a DST Property Sells Sooner Than Expected
Beyond the passive income and tax-deferral benefits offered by Delaware Statutory Trusts (DSTs), investors find these investments appealing because of the promised predictability and stability. However, nothing is set in stone in real estate investing, and there are times when sponsors initiate a property sale before the agreed-upon holding period is over.
How Debt Structure Impacts Returns in a Delaware Statutory Trust
As Delaware Statutory Trust (DST) sponsors acquire assets to include in the DST portfolio, they will use leverage to fund the purchase. Some investors may not care about this detail as long as the DST can deliver its promised returns. However, debt structure can have a major effect on the returns of a DST investment.
The Life Cycle of a Delaware Statutory Trust Investment
Delaware Statutory Trusts (DSTs) hold a lot of promise, especially for investors who want benefits like tax deferral and access to income from institutional-grade assets. However, before entering one, it pays to be informed regarding all aspects of this investment.
DST Minimum Investment Requirements: What Determines the Entry Point
In recent years, Delaware Statutory Trusts (DSTs) have become a popular investment vehicle, offering income from institutional-quality assets while providing tax-deferral benefits. However, to enjoy these advantages, you must first meet DST investor qualifications. One of these is the minimum investment requirement.
Understanding Appraisals and Valuations in DST Offerings
Delaware Statutory Trusts (DSTs) provide a passive, institutional-quality investment opportunity without the burden of active management. However, moving into these structured products requires comprehensive due diligence. Two crucial aspects are appraisals and valuations, but they are often conflated, which may lead to some confusion regarding the true value of your beneficial interests.
How to Handle Partial Ownership Sales of Rental Properties
Navigating the sale of rental properties with partial ownership can feel like you're caught between a rock and a hard place. This complexity often arises in scenarios involving real estate partnerships, joint ownerships, or properties held in entities such as LLCs. Yet with careful planning and a well-informed approach, you can maneuver through these intricacies while optimizing both financial and tax outcomes.
