The Realized Team’s Picks
Delaware Statutory Trusts and Urban vs. Suburban Investment Strategies
Delaware Statutory Trusts (DSTs) are investment vehicles that can own a wide range of underlying assets, and as such, investors find themselves paralyzed by the choices, wondering which one will offer the best opportunities and minimal risks. Two areas that are commonly debated are suburban and urban DST investments. Which one is better? Which one is more suitable for your current needs and long-term goals?
Can You Use DST Investments as Collateral for Loans?
Many investors use their investment properties as collateral for loans, helping them secure better rates or larger sums for new ventures and other financial needs. If you have DST investments, you might also be wondering if you can leverage them when trying to obtain financing. Can you use DST investments as collateral for loans? The answer is no.
Industrial and Warehouse Properties in an UPREIT: Opportunities and Risks
Investors have plenty of options when it comes to the niche of the umbrella partnership real estate investment (UPREIT) they’re going to enter. Two closely related areas that are gaining popularity are the industrial and warehousing sectors, especially with the rise of e-commerce, dropshipping, and last-mile distribution centers.
Sustainability and ESG in UPREIT Investments: Risks and Opportunities
The real estate industry is under growing pressure to adopt sustainable practices, support social responsibility, and reduce carbon emissions as the world evolves into a more environmentally conscious and socially aware global society. Umbrella partnership real estate investment trusts (UPREITs) are no exception, and many are following environmental, social, and governance (ESG) standards as frameworks for sustainable management.
Common Misunderstandings About the 1031 Exchange Process
As you may know, a 1031 exchange is a tedious process, especially with the various rules imposed by the IRS. The complex requirements, timelines, and jargon can lead to false beliefs or misconceptions. While some myths are harmless, others should be dispelled quickly to ensure that you follow everything correctly and avoid losing your tax-deferred status. Below, Realized 1031 shares common misunderstandings about the 1031 exchange process to serve as a handy reference.
How Does a 1031 Exchange Impact Property Insurance?
An investor entering a 1031 exchange has a lot to consider: tax benefits, real estate logistics, finding the right professionals, IRS deadlines, and so on. However, there is one aspect that is often overlooked but can make an impact on your overall financial health, and that is property insurance.
Using a 1031 Exchange To Consolidate Your Real Estate Portfolio
Your investment goals are never set in stone. New developments, life milestones, and career progress can alter what you want in your portfolio. Thankfully, there are many tools and strategies you can use to consolidate your assets and make them efficient to serve your needs. One promising option is a 1031 exchange.
Pros and Cons of Doing a 1031 Exchange Into Retail Property
Due to their tax-deferral benefits and entry to new market sectors, 1031 exchanges have become a popular investment strategy for modern investors. One promising niche in which to conduct an exchange is retail property, which is eligible since these assets are inherently held for business or investment use.
Can You Do a 1031 Exchange With Distressed Properties?
Conducting a 1031 exchange is a tax-advantaged practice that allows you to delay capital gains tax payments. With the strict rules set by the IRS, however, it’s not surprising that many investors need clarification, especially if their asset has a few special characteristics. For example, can you do a 1031 exchange with distressed properties? The answer is yes, but there are a few considerations that make this yes more complicated than it seems.
Liquidity Solutions for Delaware Statutory Trust Investors
Increasing numbers of investors are now recognizing the benefits of Delaware Statutory Trusts (DSTs), including the tax deferral, passive income, and diversification that come along with them. However, some still hesitate because of one major challenge: the illiquidity of DSTs. Having your capital stuck for five to seven years or more can make you feel trapped and apprehensive.
