The Realized Team’s Picks
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.
Should You Sell Your Rental Property Before or After Tax Season?
For investment property owners, timing the sale of a rental property can be as crucial as deciding to sell it in the first place. Among the many considerations—ranging from market conditions to financial needs—tax implications play a pivotal role. One critical decision factor is whether to sell before or after tax season, each option presenting different advantages.
Selling a Short-Term or Vacation Rental Property: Special Considerations
Deciding to sell your short-term or vacation rental property is no small feat. As an investment property owner, there are several unique factors to consider that can significantly affect your decision and the outcome. Whether driven by market conditions, evolving personal circumstances, or strategic portfolio management, it's essential to approach the sale with a well-informed perspective.
DST Risk Factors Every Investor Should Understand
In recent years, Delaware Statutory Trusts (DSTs) have become popular investment vehicles. Benefits like tax deferral and hands-off involvement appealed to many types of investors. However, even with these advantages, DSTs are not without risks. Some emerge from the structure of the trust itself, while others are inherent to real estate investing. Whatever the case, it’s important for you to understand DST risk factors to better prepare for the possibilities.
How to Position Your Rental for a 1031 Exchange Buyer
When selling a rental property, positioning it as an attractive prospect for a 1031 exchange buyer can be a strategic move. This doesn’t just involve enhancing curb appeal or setting a competitive price—it’s about presenting your property as a seamless next step in an investor’s portfolio. Here’s how investment property owners can make their rental properties appealing to 1031 exchange buyers.
Due Diligence Checklist for Delaware Statutory Trust Investors
Entering a Delaware Statutory Trust (DST) through a 1031 Exchange provides key benefits like tax deferral, enhanced diversification, and passive income. However, not all DSTs can guarantee these advantages, and some may even underperform, resulting in less-than-ideal returns or even losses.
How to Avoid Common Delays in Selling a Rental
Selling a rental property can be a valuable opportunity for investment property owners looking to reinvest or diversify their portfolios. However, the process is not without its challenges. Delays in selling can arise from various factors, impacting your timeline and financial plans. Here’s a guide to avoiding common delays and achieving a seamless sale.
State Taxes on Rental Property Sales: What to Expect
Navigating the labyrinth of state taxes is a crucial task for any investment property owner planning to sell a rental property. The excitement of a lucrative sale can quickly turn to apprehension as you calculate the tax liabilities you’ll face. Understanding how state taxes apply to your sale can prepare you for the financial implications and offer strategic insight into managing these obligations.
