Income Targeting vs. Total Return in Passive Property Vehicles
In the world of real estate investment, particularly when dealing with passive property vehicles such as Real Estate Investment Trusts (REITs) and Delaware Statutory Trusts (DSTs), investors must often choose between two distinct strategies: income targeting and total return. Each approach offers unique benefits and risks, suited to different investor goals and market conditions.
Inflation Linkage in Passive Real Estate
Inflation is a persistent concern for investors, particularly those with portfolios steeped in real estate. As prices of goods and services rise, purchasing power diminishes, posing risks to investments that do not appreciate alongside inflation. However, real estate, especially when managed passively, can offer a robust counterbalance to inflationary pressures, making it an appealing choice for savvy property owners.
The Passive Real Estate Spectrum: From Traded REITs to DSTs and Interval Funds
For investment property owners seeking a hassle-free way to maintain their real estate exposure, passive real estate investments offer an appealing array of options. Among the most prominent choices are Real Estate Investment Trusts (REITs), Delaware Statutory Trusts (DSTs), and Interval Funds. These vehicles allow investors to participate in the real estate market without the day-to-day demands of property management.
Building a Passive Real Estate Sleeve: Allocation Models and Rebalancing Considerations
Real estate investment is a popular choice for those looking to build a robust, passive income stream. As with any investment strategy, a thoughtful approach to asset allocation and rebalancing is central to maximizing returns and mitigating risks. Here, we explore effective allocation models and the nuances of rebalancing for those looking to create a passive real estate sleeve.
DST Reserves, Return of Capital, and Their Impact on Adjusted Basis
When you choose to invest in Delaware Statutory Trusts (DSTs) for tax deferral or passive income benefits, your attention is usually entirely on the tax benefits and profitability. However, the finer details (like reserves and return of capital) also deserve your close inspection, because these can affect your DST adjusted basis and, by extension, long-term tax outcomes.
Passive Losses and DSTs: What Happens to Suspended Losses After an Exchange?
Investors who want benefits like tax deferral and passive income find Delaware Statutory Trusts (DSTs) an appealing and suitable option. During your investment, however, you may encounter passive losses, particularly from the depreciation of the underlying DST properties. This accounting consideration raises a question: what happens to suspended losses after an exchange?
