Finding suitable Delaware Statutory Trust investments can be challenging. Scouring through multiple DST offerings to find investment options that meet your investment criteria can be a difficult and time-consuming process. DST investors who are trying to place capital to complete 1031 exchanges also face the additional pressure of meeting inflexible Internal Revenue Service deadlines.
Establishing a budget is one of the most important aspects of financial security in retirement. A budget can help ensure your retirement dollars last the rest of your life, which could be decades after you stop working.
Royalties are fees that one person or company pays to another for the use of their work, usually their intellectual property. Royalties are frequently used for licensing agreements, such as when a product manufacturer wants to use a popular song to advertise their product. In addition, writers may receive royalties when their book sells copies, and artists earn royalties when radio stations play their music, for example.
As an investor, using a 1031 exchange to defer the payment of capital gains taxes when you sell property is often a goal. After all, doing so can increase your funds for reinvestment, thus enabling you to better leverage your investment power. Sequential exchanges can compound this effect, helping you grow your portfolio. For many investors, it's a rational approach.
Real estate investors who sell highly appreciated assets are often left with large capital gains tax liabilities. Reinvesting sale proceeds through a 1031 exchange is one way to defer those gains.
Completing a 1031 exchange after selling an investment property can help real estate investors increase the purchasing power of their investment capital and also defer taxes on any realized capital gains.
Investing through a Delaware Statutory Trust can be an attractive tool for many investors. Here’s how it works:
Capital gains represent the difference between what investors pay for an asset (plus certain adjustments) and what they sell it for. Capital assets include real estate, stocks, bonds, collectibles, jewelry, antiques, and other items that can increase in value over time. If you don't sell the asset, any increase in its value is an unrealized gain, and won't be taxed, no matter how much the increase is.
Tenants-In-Common is a structure for sharing property ownership among two or more people. The unique aspect of TIC arrangements is how flexible the design is. For example, TIC can include a shared rental property owned jointly by two best friends or, on the other end of the spectrum, a professionally managed company promoted by a Sponsor.